Lloyds Bank to cut 1,600 jobs across branches in shift to online banking

Lloyds Banking Group has said it is cutting about 1,600 jobs across its branch network, as part of an ongoing shift towards online banking.

The role reductions follow a tranche of branch closures announced last year as the group said the way customers are choosing to do their banking has changed “rapidly” in recent years.

The overhaul will also see the banking giant create 830 roles in an expanded “relationship growth” team, where more staff will be available to talk to customers in branches, through video meetings or over the phone.

The new team is expected to improve Lloyds’ service and lead to more customers reaching the bank without having to wait for appointments as often, it said.

The redundancies are not expected to affect the most junior employees, and in some situations staff will be offered voluntary redundancy.

Some affected staff may also have the opportunity to move to a newly created role or to a different part of the business.

The group, which owns Lloyds, Halifax, and Bank of Scotland, said just 8% of its customers choose to visit high street branches as the sole way to manage their money.

More than 21 million customers use online or mobile banking.

A spokeswoman for Lloyds said: “As more customers choose to manage their day-to-day banking online, it’s important our people are available when it matters most.

“We’re introducing a number of new roles and making changes to our branch teams so our customers can see us how and when they want to.”

The bank did not specify which branches would be affected by the changes.

In November, Lloyds said it was shutting another 45 branches across its network, meaning that at least 275 branches will be cut across Lloyds, Halifax, and Bank of Scotland over 2023 and 2024.

There were hundreds of branch closures across the sector last year as the exodus from the high street picked up pace.

Employee union Accord, which says it represents about 22,000 staff at Lloyds and TSB, said the changes are expected to significantly affect the branch network and its members.