Lloyds Bank customers to move to the Co-op 24/7/12
Customers of the Stornoway branch of Lloyds Bank will transfer to the Co-op when
a proposed takeover is completed next year.
The island bank is included in an in-principle deal which sees all Scottish branches
of Lloyds in a forced sell-off.
The Co-operative Bank is a mutual body, owned by its members rather than large institutional
shareholders.
Part-nationalised Lloyds was bailed out by the government in 2009 after it financially
burnt its fingers in buying the Halifax Bank of Scotland group. The European Commission
ordered Lloyds to dispose of its high street outlets.
The deal has yet to be approved by the regulators and the Treasury but it is likely
to go-ahead by November next year.
Eventually, the island branch will be renamed Co-operative Bank though it will be
badged the TSB next spring ahead of the official sale.
Bank cards, statements and correspondence will carry the TSB name as the transfer
gets closer.
The Peter Marks, Group Chief Executive of The Co-operative Group, said: “This deal
would deliver the biggest shake-up in high street banking in a generation.
“It would be a great deal for customers because it would make the services of our
member-owned, customer-led, ethically-driven, bank available to millions of people
we’ve not been able to serve up until now.
“So far as UK banking generally is concerned, this would be a great deal because
it would help restore trust in a sector whose image has been badly tarnished over
recent years.
