Lloyds, Halifax and Bank of Scotland customers to use any branch

Customers of Lloyds Bank, Halifax, and Bank of Scotland, all part of Lloyds Banking Group, will be able to use services at any branch of the three brands, as part of the group’s latest network adjustments. The group, the UK’s largest lender, said the move is designed to provide customers with more choice and flexibility.

While a specific date for when this will come into effect has not been announced, some have raised concerns that this move may pave the way for more branch closures in the future. In recent years, many high street bank branches have closed as more people have switched to online banking services. Lloyds Bank alone has closed dozens of branches and cut hundreds of jobs as part of a major overhaul of its operations that began in February 2022.

The banking group stated that the latest decision will allow customers of Lloyds Bank, Halifax, and Bank of Scotland to choose to use any brand's branch for face-to-face banking, as well as use “apps, mobile messaging and telephone services”. A statement added: “Like many industries, the majority of our customers are shifting to mobile and online banking, as it’s faster, easier and more convenient.”

These changes may mean that some people can more easily use a branch closer to where they live, but there are still around 55 Lloyds Banking Group branch closures planned in the UK this year. Once all the recently announced closures are complete, the group will have 892 branches, consisting of 447 Lloyds Bank, 341 Halifax, and 104 Bank of Scotland locations. Bank branch closures are more likely to occur in vulnerable areas.

Lloyds said the banking group’s call center staff are now supporting customers across all brands. In response to the decision, the BTU, which represents the interests of Lloyds staff, warned that more bank closures could follow as a result of the changes. “Shared services for customers are not about engagement or choice, they are about making it easier for Lloyds to close more branches and save more money,” it said. Campaigners argue that some shops and other retailers may stop accepting cash if it becomes too difficult for businesses to handle.

After a decade of decline, recent figures show that cash usage in shops rose for the second year in a row in 2023, according to retailers. The British Retail Consortium (BRC) said that notes and coins were used for one in five transactions, as shoppers find cash helps them budget better. It is understood that the BTU is not recognized as an official union, and therefore Lloyds Banking Group does not communicate or consult with it.