Banking giant Lloyds Bank to cut 9000 Jobs we have been informed. This is to create a bank ‘fit for the 21st Century’. The shock announcement will be sad and painful news for the many people who work for the bank.
Although over the last three years Lloyds haven’t closed many of their high street banks whilst many of their competition have it seems as if Lloyds have now brought themselves into line with many of their peers such as RBS and Barclays.
The 9000 jobs won’t just be lost through their branches – they’ll also go in their head office operations and elsewhere too.
Lloyds chief executive Antonio Horta-Osorio told reporters in this morning’s news conference he wants to modernise the bank and that customers “don’t go into branches anywhere near as frequently they used to” and therefore “there’s not the need to have as many of the branches as they currently operate”.
Lloyds has by far the biggest branch networking Britain 2250 of them in total. It will close 200 of them over the next two years.
The group, which operates the Lloyds Bank, Halifax and Bank of Scotland brands, reported pre-tax profits of £1.61bn for the nine months to 30 September.
The group is setting aside another £900m to cover potential payouts for the PPI mis sell scandal.
The scandal has cost Lloyds, to date circa £11bn.
Fines for the Libor rate-rigging scandal have topped £200m.
The government still holds a 25% stake in the bank, but has reduced its holding from about 39% through two separate share sales since September last year.