AIB has agreed a deal with Cork-based wholesaler Musgrave to open a small banking outlet at the SuperValu store in Lucan, Co Dublin.

The outlet will open in July as part of a pilot scheme by the two Irish-owned companies that will allow shoppers to access certain banking services in store.

Customers will be offered extended bank opening hours with AIB providing a “staffed advisory and sales service”, ATMs, and cash and cheque lodgement machines. It will open seven days a week but there will be no tellers in store.

AIB ATMs are already available in a number of Supervalu stores around the country.

AIB and SuperValu said the aim of the pilot was to establish how an in-store banking outlet could benefit their respective customers.

The Lucan shop is one of SuperValu's flagship stores, having being acquired as part of the Superquinn chain in 2011. It was chosen because it is located in a high density, high footfall area.

Trial

Commenting on the initiative, AIB managing director of retail, corporate and business banking Robert Mulhall said: "Our research has shown that partnerships between leading supermarkets and banks can be very successful. This concept is well proven over the past 20 years in the US, UK and Australia. This initiative complements our existing branch network which we have been expanding since 2015."

SuperValu managing director Martin Kelleher said the trial would allow the company to tailor its offer to suit local communities.

No comment was available from either company on how long the pilot would last or how many of these outlets might be opened if the trial proves to be a hit with customers.

This is the fourth new banking outlet opened by AIB in the past six months. Its network comprises 204 branches, 19 business centres, and the Lab in Dundrum. It also operates from 70 EBS locations and offers banking services through the An Post network.

SuperValu serves more than 2.6 million customers a week and has 223 stores around the country.

In-store banking is not a new concept in Ireland. Superquinn and TSB Bank came together in 1999 to launch Tusa, a joint venture that offered a range of financial products in 14 of the grocery chain's shops.

It closed two years later having only secured 500 mortgage customers and a total of just 10,000 account holders.