Has the UK government blocked the closure of Cheltenham and Gloucester?
Only two months ago Lloyds bank was adamant that all 164 branches of the Cheltenham and Gloucester would close as the bank sought to reduce costs and slim down for the future. However, Lloyds bank has today released a surprise statement confirming that the company is going to revisit the potential closure of the Cheltenham and Gloucester branches and until the review is complete the operation will be trading as normal.
There is a feeling that potential closure of the Cheltenham and Gloucester, after the £1.8 billion acquisition in 1995, was a step too far and maybe behind the scenes the UK government has become more involved. While there has been no confirmation or denial of any involvement by the government it is known that the potential loss of 1200 jobs had not gone down well within government circles, bearing in mind that Lloyds bank is 43% owned by the UK taxpayer after receiving billions of pounds of taxpayer funding.
There is a feeling that the government may well be taking a more hands-on approach regarding the likes of Lloyds bank and Royal Bank of Scotland, both of which were supported by UK taxpayers, although Royal Bank of Scotland's decision to introduce multimillion pound bonuses for new highflying staff was surprising.
Share this..
Related stories
The difference between private sector and public sector pension arrangements?
The release of Lord Hutton's report into public sector pension schemes perfectly illustrates how an explosion in the number of public-sector workers in the UK has contributed to an ever-growing liability for UK taxpayers. The vast majority of public-sector pension arrangements are based on an employee's final salary which can often bear little or no resemblance to the potential investment return o...
Read MoreJJB set to secure deal from landlords
JJB Sports has today revealed details of a vital rental agreement between the company and landlords who own their shopping premises. The deal will effectively see JJB Sports rip-up the current rental arrangements and revert to a pay monthly basis which should help the company keep tighter control of costs. The company has also revealed a £25 million short-term loan from Barclays Bank and a £25 m...
Read MoreUK base rates remain unchanged
The monetary policy committee of the Bank of England has today confirmed that UK base rates will remain at 0.5% for the foreseeable future. It has also been announced that the quantitative easing fund will be increased by £25 billion to £200 billion which should see the program through until February 2010. What will happen after February 2010 will very much depend on how buoyant the UK economy i...
Read MoreAlistair Darling promises laws to curb bonuses
Now that the Financial Services Authority (FSA) has been hung out to dry by the UK government, Alistair Darling has now stepped up to the mark, again, suggesting that he will impose laws to curb bonuses and remuneration packages within the UK banking sector. Unfortunately, this is a line we have heard time and time again from the Chancellor and it is one which grows ever weaker in power each time...
Read MoreWho will benefit from the so-called retail VAT freeze?
There is confusion and misinformation in the UK retail market this morning with allegations that the VAT freeze announced by a number of large retailers in the UK may not be as beneficial to UK consumers as it first looked. Allegations that a number of companies have increased the price of many products ahead of the "VAT freeze" have hit the headlines today although these are unsubstantiated claim...
Read More