FROM humble beginnings in 1838, the Clydesdale Bank has gone on to become part of an international banking group and one of Scotland's most high-profile brands.

But it has always maintained its head office in Glasgow, the city where it all started.

As the bank gears up for its 175th birthday celebrations on May 7, STEF LACH explores the bank's undying ties to Glasgow.

ALTHOUGH it is classed as a medium-sized bank – certainly in comparison to giants such as HBOS and the RBS group – the Clydesdale is a brand recognised by everyone in Scotland and many more in the UK and around the world.

From its sponsorship of the Scottish Premier League to its advertising campaign which bears the slogan 'Always thinking', the bank is never far from the limelight.

But despite this, and a move into the international market when it became part of the National Australia Bank Group in 1987, the Clydesdale Bank has always been headquartered here in Glasgow.

The bank was founded in Glasgow by James Lumsden in 1938 and it has moved its HQ around the city a few times since.

It has been at its current head office, in St Vincent Place, since 1874.

This year, in the lead-up to the bank's 175th birthday, St Vincent place underwent a major refurbishment.

The new, modern banking hall is surrounded by offices and the business banking division and the looks nothing like the traditional image of a bank.

It is light and open, without the unwelcoming teller booths of old.

The head office is home to 1260 staff, including media relations director Barry Gardner.

According to Barry, leaving the heartlands of the West of Scotland – for the bright lights of London for example – has never been an option for the bank.

He said: "It comes down to historical ties.

"We've had an office in London for a long time, but our strength has always been in the commercial sector here in the West of Scotland.

"As commerce grew here, with shipbuilding and the like, so did the bank.

"Within a year of the bank being founded, we had an office in Edinburgh, but by then we had four or five branches in Glasgow.

"We opened a centre in London because as a bank, you have to have a presence there. But that's not our main market and we've not got a large retail branch network in the south of England.

"All through the evolution of the bank, we've always stayed close to our base customers and to this area."

Despite its beginnings as a bank catering for businesses, more than half of the Clydesdale's market these days is in retail banking – that is high street banking for everyday individuals looking for somewhere safe to store their savings or to borrow money.

The revamp of the headquarters is not the only way the bank is celebrating its 175th birthday. It has also launched its new Spirit of the Community Awards scheme, which will donate a share of a £175,000 pot to organisations making a real difference in their local areas.

Clydesdale Bank will make donations to voluntary groups in three categories: education, employability and environment.

The top three winners in each of the three categories will receive £10,000 of funding, while five highly commended initiatives in each category will each receive £5000 to support their community activity.

A further £10,000 will go to the best of the top three winners, meaning one organisation will receive £20,000. The winners will be announced next month.

The Yorkshire Bank is running a similar scheme in England, with £75,000 up for grabs there.

David Thorburn, chief executive of Clydesdale and Yorkshire Banks, said: "We launched our new national Spirit of the Community Awards this year and have made £250,000 available for local voluntary and charity groups.

"The inaugural awards have received over 300 nominations across the UK, the majority from Scotland.

"That means that, very soon, we will be able to announce the 36 groups who will be awarded between £5000 and £10,000 each to support their work."

Maintaining those links with people in the bank's heartlands is part of its commitment to Glasgow and Scotland as a whole.