Portuguese Banking Union Resists Further Market Consolidation
Paulo Gonçalves Marcos, the President of the Sindicato Nacional dos Quadros e Técnicos Bancários (SNQTB), has publicly stated that Portugal’s banking market does not require further consolidation. In an interview with the “Conversa Capital” program, a joint broadcast by Antena 1 and Jornal de Negócios, Marcos articulated his union's firm position against the potential for future mergers and acquisitions within the sector. His comments come as Álvaro Santos Pereira, the government’s nominee to lead the Bank of Portugal, prepares to take office. Santos Pereira is widely believed to be in favor of a more consolidated banking system to enhance efficiency and competitiveness on a European scale.
During the interview, Marcos directly addressed the incoming governor's perceived stance, stating, “Álvaro Santos Pereira has qualities, but, from the outset, he is advancing that the consolidation the new Governor advocates for is not necessary and we hope the regulator will not permit it.” The union leader stressed that the role of the regulator should be guided by a “sense of mission and a high standard of ethics,” implying that any decisions on market structure must prioritize stability and consumer interest over shareholder value. The current Portuguese banking landscape is dominated by a few key players, including the state-owned Caixa Geral de Depósitos, Millennium BCP, Santander Totta, Novo Banco, and BPI. The union fears that further mergers would reduce competition, limit consumer choice, and potentially lead to significant job losses among its members.
The SNQTB president also took the opportunity to criticize other positions attributed to Santos Pereira, particularly the suggestion of limiting active political militancy for employees of the Bank of Portugal. Marcos rejected this idea, arguing that it infringes on fundamental citizenship rights. This divergence of views signals a potentially contentious relationship between the powerful banking union and the new leadership at the central bank. Marcos also offered a critical assessment of the outgoing governor, Mário Centeno, suggesting his term “was not good for the system” and questioning whether his actions were aimed at protecting his own legacy as a former Minister of Finance.
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In a separate but related development, the SNQTB has revealed its intention to request government mediation in the upcoming salary negotiations for the 2025 fiscal year. The union is rejecting the 2.5% increase proposed by the Portuguese Banking Association (APB), which has been accepted by other, smaller unions. The SNQTB is demanding a 2.9% raise, citing the official inflation rate, the sector’s record-breaking profits, and significant salary discrepancies of 50% to 60% for employees of the same banking groups working in Spain or France. Marcos expressed skepticism about the government’s willingness to intervene decisively on the union’s behalf, also criticizing the government’s broader labor reform package as a “civilizational setback” that encourages lower wages and simplifies dismissals.
Despite the strong rhetoric and the ongoing salary dispute, the union president indicated that a general strike is not being considered at this moment. The statements from the SNQTB leader introduce a significant element of uncertainty into the future of Portugal’s financial policy and regulatory environment. The outcome of the debate on consolidation and the resolution of the labor negotiations will be closely watched by market analysts and will likely have a substantial impact on the operational strategies of banks across the country.
[Understand policy impacts on your Portugal property plans at realestate-lisbon.com.]