The UK arm of Spanish banking giant Santander is sounding out potential buyers for its Jersey-based private banking arm, a business it inherited from its takeover of Abbey in 2004, Sky News reports.

The bank has reportedly hired Gleacher Shacklock, an advisory firm, to measure the true appetite of potential bidders for its Jersey counterpart.

Citing sources familiar with the matter, the news service said that Santander UK has not committed to any sale and is simply exploring a number of options, which include either changing the structure of the business or keeping it as it is.

Similarly, the bank considered this for its Isle of Man private banking arm in the past and eventually chose to leave the business unchanged, the report continued.

Santander declined to comment when contacted by WealthBriefing.

In related news, last week it emerged that Spain’s Bankia is to scale down its private banking arm and integrate it into its primary operations next year – a move which follows on from its decision to restructure its retail business, and which will see it relinquish its separate private banking licence.

The restructuring moves are a bid to “simplify the organisation, capture synergies and save costs,” Bankia has said. It will continue to provide private banking services after next year, but with a stronger focus on the areas which generate the most business.