BBC News Online: Business

Abbey's expresso service

Abbey National has linked up with Costa Coffee to provide the service, initially in its branch in Barnet, north London.

Customers will find a refurbished building incorporating a 40-seat café serving Italian coffees and food.

There is also a Technology Assist Area in which internet and digital TV banking services will be demonstrated to customers.

Andrew Pople, managing director of the bank's retail operations, said: "Abbey National is investing in its branch network for the future."

The Barnet branch conversion is expected to be followed by Bath, Croydon, Chelsea and Leeds.

Abbey National hopes to have as many as 50 coffee shop branches by the end of 2002.

Franchised branches

The opening of the first Costa branch comes soon after Abbey National announced that it was piloting a franchise scheme.

Some 43 branches are to be run by five local managers in exactly the way they choose.

They will have sole responsibility for sales spend, marketing, staffing and the products sold in their branches.

The bank says customers in west London, south Wales and Newcastle upon Tyne should start to notice the difference from Tuesday 1 August.