The company said the number of transactions over the counter at Newport have fallen by 28 per cent since 2012, and only 53 people are using the branch in High Street each week.
More than 60 per cent of Newport customers do their banking online, the bank said. And although there’s little surprise that NatWest are looking to leave the town, Patrick Beech, of Newport’s Chamber of Commerce, said interest has been shown in the building in the past.
"It’s a prime position in Newport, a lovely building,” he said.
"I think it will soon be filled. I’ve had people express interest in it before, so hopefully it will be filled.”
Mr Beech said that it was a shame the bank was closing.
"I’ve always boasted in Newport we have five banks – now we’ll be down to four.
"I’m really not surprised that the bank is closing. Some towns don’t even have a bank.
"We’re still looking to keep the rest of them, at least for the time being, but you never know.
"It’s a shame that NatWest is going.”
Councillor Peter Scott said: "It’s sad that NatWest is to close but banks have been encouraging customers away from branches for years. There is no profit in just banking cash.
"I hope the building goes to a business the town needs. Maybe a good restaurant.”
Newport is one of two NatWest branches set to close, with the other being based in Bridgnorth.
It is part of a round of 259 closures announced by owner Royal Bank of Scotland.
Newport’s branch will close on May 22, while NatWest Bridgnorth will follow on June 12.