More Lloyds Banking Group customers could be sold to create new 'challenger' bank
Originally posted by 5corpio
More Lloyds customers could be 'sold' to a smaller rival branch network on top of the 5.5million already being herded toward the exit signs, it emerged today. Lloyds is being forced to sell 632 branches - some 4.6 per cent of the UK current account market - by the European Commission, which says the banking monolith is stifling competition. But the Independent Commission on Banking has asked the Government to ensure that the sale creates a 'strong challenger bank' that boasts at least 6 per cent of the current account market. It is understood that chief executive Antonio Horta-Osorio remonstrated with the ICB and Treasury over proposals in the interim report which suggested more branches should be sold to boost this number.

Although it appears Mr Horta-Osorio won the battle to keep the 632 figure fixed, the ICB is still insisting that the sell-off is 'enhanced'. In its groundbreaking report published today, the Commission has asked the Government to reach a new agreement with Lloyds. Either the number of current account customers included in the package is increased, it says, or the branches are sold to a Click to -----> Read more