The two branches will be in Wolverhampton and Solihull, opening in June and September. They will create around a dozen new jobs.
Yorkshire opened three new branches last year.
Chief executive Iain Cornish says: “We have exchanged contracts on the new premises and are currently in the middle of a major refurbishment. We are continuing our search for suitable locations and premises across the UK and hope to announce further new branches in the near future.
“Whilst the trend for many financial institutions is to close local branches, we consider the growth and development of our branch network as important as investing in our internet and telephone operations.
“Customer feedback from the opening of our three branches in 2007 has been very positive showing the benefit of having a high street presence. Many value the personal service and face to face advice they get in a branch and we are delighted that we will be able to offer these services to the people of Wolverhampton and Solihull.”