Lloyds cuts 1660 jobs and closes all C&G branches

Lloyds cuts 1660 jobs and closes all C&G branches

Lloyds Banking Group is set to close all 164 branches of Cheltenham & Gloucester (C&G) as part of an overhaul of its mortgage and loan arms that will result in around 1660 job losses.

The bank will shut the C&G branches by November, resulting in up to 928 job losses. The former building society's brand will be kept for mortgages and savings.

In addition, 265 full time jobs will be cut from Lloyds' personal loans division, mainly affecting staff in Chester.

From 1 July, Bank of Scotland and Intelligent Finance will no longer write new intermediary mortgage business, resulting in a further 159 job losses from sales teams.

The retail business will also integrate Lloyds TSB and Hbos product development, risk and finance roles, resulting in 168 job cuts over the next 12 months.

Lloyds has already shed some 3000 jobs since its merger with distressed high street rival Hbos earlier this year, prompting union Unite to complain of "death by a thousand cuts".

Late last year the bank set a target of £1.5 billion in annual savings from consolidation of technology, branch closures and job cuts as part of its mega merger.

Derek Simpson, joint general secretary, Unite, reacted furiously to the latest cuts, branding them "disgraceful".

"UK taxpayers have not poured billions of pounds into this organisation just to see it sack thousands of hard-working people. Front line staff in banks across the country are blameless for the mistakes of management which have brought the important finance industry to the point of collapse," says Simpson.

Comments: (2)

A Finextra member
A Finextra member 09 June, 2009, 13:53Be the first to give this comment the thumbs up 0 likes

now 1700 more gone. Total to over 4500 this year?

Matt White
Matt White - Finextra - Toronto 09 June, 2009, 15:39Be the first to give this comment the thumbs up 0 likes

Yep, and you can expect plenty more before the Hbos integration is completed - estimates of 30,000+ (although Lloyds isn't saying what it expects the number to be).

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