Lloyds bank is considering further redundancies
Lloyds bank has today confirmed that the group is considering the future of up to 300 agency counters around the UK. This is the next step in a significant cost reduction programme introduced by new chief executive Eric Daniels who believes he can slash £1.5 billion from the cost base of the company. While the group has reiterated that the 3000 Lloyds TSB, Halifax and Bank of Scotland branches in the UK are not involved in this specific review there are fears for the future.
So far the group has reduced the employee count by 7,000 and many people believe this figure will soon pass 10,000 and upwards. Slowly but surely the bank is looking to reduce its exposure to the UK high street, with the disastrous acquisition of HBOS behind the ongoing move to cut costs. It is no secret that the finances of Lloyds bank are in a very difficult situation at the moment with rumours of a potential £10 billion rights issue on the way.
While the unions have obviously expressed their anger and disappointment at the ongoing job cuts at the group, ultimately the directors have no choice because of the current situation and the need to slim down and reduce costs as soon as possible.
Share this..
Related stories
Will the British Airways employment changes be replicated elsewhere?
News that a significant number of British Airways staff have agreed to work unpaid for up to a month, take unpaid leave or move to a part-time basis has been welcomed with open arms by Willie Walsh, the chief executive of British Airways. The move is set to save the company around £10 million a year and further efficiency savings can be expected in the short to medium term. But does this change t...
Read MoreChildcare costs rise 6pc in 3 Months
The cost of childcare is on the rise, and has gone up by 6pc in the last three months alone, according to childcare website Findababysitter.com. The report revealed that of those parents who are currently unemployed, 25pc wished to return to work but couldn’t afford to have their children cared for. As well as this 55pc mentioned that they thought the government was not doing enough to provi...
Read MoreBank of England calls for more power
A report by the Bank of England has highlighted the fact that the interest rate loan will not save the UK economy in the short to medium term and indeed will need to be complemented by other powers in the longer term. A review of the UK economy over the last decade has shown that the Bank of England would have had to push UK base rates to between 6% and 19% to control what was at the time an uncon...
Read MoreBritish Chambers of Commerce improves forecast for UK economy
The British Chambers of Commerce has today released a revised forecast for the UK economy with a suggestion it will grow by 1.1% in 2010 which is almost double the former forecast of 0.6% growth for 2010. This near doubling of the expected growth has occurred in just three months which would leave many people to assume that the UK recovery is well and truly underway and well underpinned?
Has the UK government done a deal with Virgin Money?
As the ongoing reorganisation of Northern Rock continues and news filters through to the market that Virgin Money has applied for a banking licence through the FSA (Financial Services Authority) it would appear inevitable that Virgin Money will make an offer for part or all of the Northern Rock business. Indeed there are rumours in the city that this is already a "done deal" with the government le...
Read More