A date has yet to be set, but Te Puke's Kiwibank and PostShop are to close.

Kiwibank announced the closure on Monday, and at the same time, NZ Post gave an undertaking to find an alternative way of providing postal services to the Te Puke community in locations customers could easily access.

A Kiwibank spokesperson said Kiwibank and NZ Post were two separate businesses which currently shared the same premises in Te Puke.

"Declining customer volumes mean it is no longer viable for Kiwibank to maintain a physical branch for banking services in Te Puke," the spokesperson said.

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"NZ Post are able to continue to provide postal services by partnering with a local business."

The changing needs of Kiwibank customers and the services they used in branches, as well as nearby alternative branch options, were behind the decision to close the Te Puke branch.

Kiwibank's general manager of retail distribution, Geoff Waller, said the changes had been confirmed with staff and the organisation wanted to be open with the community about what it was doing, and how these changes may affect them.

"We regularly review our branch network to ensure our branches are sustainable, and customer volumes remain at a level that justifies the staffing we are required to have for compliance and safety reasons. Our Te Puke customers are able to access our services at Papamoa Plaza, Bayfair mall or our other Tauranga branches."

The current branch would continue operating until a postal partner business was secured.

"We're working with our people in the PostShop as we explore options. We are committed to supporting our people through the change," Waller said.

The Kiwibank spokesperson said the impact on staff was not yet known as NZ Post was seeking a local business to partner with, "but we are working closely with our staff as the search gets underway".

NZ Post head of retail Mark Yagmich said the focus was to find a suitable local Te Puke business to partner with.

"We already successfully deliver postal services through local businesses in many communities as a way of operating as a commercially sustainable business.

"This model works well for us, and also for the businesses we work with, which generally benefit from increased foot traffic as people come in to buy stamps, and drop off their parcels. It's also good news for our customers, who often enjoy longer opening hours, and more convenient locations.

"While we carry out this search we'd like to reassure our customers that there will be no change to our services for customers who use both the Te Puke NZ Post and Kiwibank. They can still access postal services, such as buying postage and sending parcels, and access the box lobbies."

Te Puke Community Board chairman Peter Miller said he was disappointed to hear the news.

"I wouldn't support the closing of our Kiwibank branch. It's going to be a huge inconvenience, particularly for our older folk."

He said he thought the closure was "appalling".

"When you think about the facility they've got there now, it's open and airy and has got all the facilities for Kiwibank and the PostShop.

"Another business might just poke it in the corner and people might just walk in and not realise they are in a PostShop."