diff --git a/admin/branches.pl b/admin/branches.pl
index 3cfd60a08b..98a2d1f49f 100755
--- a/admin/branches.pl
+++ b/admin/branches.pl
@@ -19,16 +19,22 @@
 # along with Koha; if not, see <http://www.gnu.org/licenses>.
 
 use Modern::Perl;
+
 use CGI qw ( -utf8 );
+use Try::Tiny;
+
 use C4::Auth;
 use C4::Context;
 use C4::Output;
 use C4::Koha;
+
+use Koha::Database;
 use Koha::Patrons;
 use Koha::Items;
 use Koha::Libraries;
+use Koha::SMTP::Servers;
 
-my $input        = new CGI;
+my $input        = CGI->new;
 my $branchcode   = $input->param('branchcode');
 my $categorycode = $input->param('categorycode');
 my $op           = $input->param('op') || 'list';
@@ -47,10 +53,14 @@ if ( $op eq 'add_form' ) {
     my $library;
     if ($branchcode) {
         $library = Koha::Libraries->find($branchcode);
+        $template->param( selected_smtp_server => $library->smtp_server );
     }
 
+    my @smtp_servers = Koha::SMTP::Servers->search;
+
     $template->param(
-        library    => $library,
+        library      => $library,
+        smtp_servers => \@smtp_servers
     );
 } elsif ( $op eq 'add_validate' ) {
     my @fields = qw(
@@ -82,11 +92,32 @@ if ( $op eq 'add_form' ) {
         for my $field (@fields) {
             $library->$field( scalar $input->param($field) );
         }
-        eval { $library->store; };
-        if ($@) {
+
+        try {
+            Koha::Database->new->schema->txn_do(
+                sub {
+                    $library->store->discard_changes;
+                    # Deal with SMTP server
+                    my $smtp_server_id = $input->param('smtp_server');
+
+                    if ( $smtp_server_id ) {
+                        if ( $smtp_server_id eq '*' ) {
+                            $library->smtp_server({ smtp_server => undef });
+                        }
+                        else {
+                            my $smtp_server = Koha::SMTP::Servers->find( $smtp_server_id );
+                            Koha::Exceptions::BadParameter->throw( parameter => 'smtp_server' )
+                                unless $smtp_server;
+                            $library->smtp_server({ smtp_server => $smtp_server });
+                        }
+                    }
+
+                    push @messages, { type => 'message', code => 'success_on_update' };
+                }
+            );
+        }
+        catch {
             push @messages, { type => 'alert', code => 'error_on_update' };
-        } else {
-            push @messages, { type => 'message', code => 'success_on_update' };
         }
     } else {
         $branchcode =~ s|\s||g;
@@ -95,12 +126,30 @@ if ( $op eq 'add_form' ) {
                 ( map { $_ => scalar $input->param($_) || undef } @fields )
             }
         );
-        eval { $library->store; };
-        if ($@) {
-            push @messages, { type => 'alert', code => 'error_on_insert' };
-        } else {
-            push @messages, { type => 'message', code => 'success_on_insert' };
+
+        try {
+            Koha::Database->new->schema->txn_do(
+                sub {
+                    $library->store->discard_changes;
+
+                    my $smtp_server_id = $input->param('smtp_server');
+
+                    if ( $smtp_server_id ) {
+                        if ( $smtp_server_id ne '*' ) {
+                            my $smtp_server = Koha::SMTP::Servers->find( $smtp_server_id );
+                            Koha::Exceptions::BadParameter->throw( parameter => 'smtp_server' )
+                                unless $smtp_server;
+                            $library->smtp_server({ smtp_server => $smtp_server });
+                        }
+                    }
+
+                    push @messages, { type => 'message', code => 'success_on_insert' };
+                }
+            );
         }
+        catch {
+            push @messages, { type => 'alert', code => 'error_on_insert' };
+        };
     }
     $op = 'list';
 } elsif ( $op eq 'delete_confirm' ) {
diff --git a/koha-tmpl/intranet-tmpl/prog/en/modules/admin/branches.tt b/koha-tmpl/intranet-tmpl/prog/en/modules/admin/branches.tt
index bf140b2960..2d5d59ca91 100644
--- a/koha-tmpl/intranet-tmpl/prog/en/modules/admin/branches.tt
+++ b/koha-tmpl/intranet-tmpl/prog/en/modules/admin/branches.tt
@@ -141,6 +141,22 @@
                 <li><label for="branchemail">Email: </label><input type="text" name="branchemail" id="branchemail" class="email"  size="80" value="[% library.branchemail | html %]" /></li>
                 <li><label for="branchreplyto">Reply-To: </label> <input type="text" name="branchreplyto" id="branchreplyto" class="email"  size="80" value="[% library.branchreplyto | html %]" /><br /><span class="hint">Default: ReplyToDefault system preference</span></li>
                 <li><label for="branchreturnpath">Return-Path: </label> <input type="text" name="branchreturnpath" id="branchreturnpath" class="email"  size="80" value="[% library.branchreturnpath | html %]" /><br /><span class="hint">Default: ReturnpathDefault system preference</span></li>
+                <li><label for="smtp_server">SMTP server: </label>
+                    <select name="smtp_server" id="smtp_server">
+                    [% IF selected_smtp_server.is_system_default %]
+                        <option value="*" selected="selected">Default</option>
+                    [% ELSE %]
+                        <option value="*">Default</option>
+                    [% END %]
+                    [% FOREACH smtp_server IN smtp_servers %]
+                        [% IF smtp_server.id == selected_smtp_server.id %]
+                            <option value="[% smtp_server.id | html %]" selected="selected">[% smtp_server.name | html %]</option>
+                        [% ELSE %]
+                            <option value="[% smtp_server.id | html %]">[% smtp_server.name | html %]</option>
+                        [% END %]
+                    [% END %]
+                    </select>
+                </li>
                 <li><label for="branchurl">URL: </label><input type="text" name="branchurl" id="branchurl"  size="80" value="[% library.branchurl | html %]" class="url" /></li>
                 <li><label for="opac_info">OPAC info: </label><textarea name="opac_info" id="opac_info">[% library.opac_info | $raw %]</textarea></li>
                 <li><label for="branchip">IP: </label><input type="text" name="branchip" id="branchip"  size="15" maxlength="15" value="[% library.branchip | html %]" /> <span class="hint">Can be entered as a single IP, or a subnet such as 192.168.1.*</span></li>