Live updates

Cable to urge banks to keep last branches in towns open

Business Secretary Vince Cable is set to write to big banks urging them to keep branches open in towns where there are no other banks open.

It follows an announcement from state-backed Lloyds bank that it is going to close 150 branches and make 9,000 staff redundant.

ITV News Business Editor Joel Hills is following developments.

Advertisement

Unite union: 'Deeply unsettling times for Lloyds staff'

The Unite union has said that job losses announced by the Lloyds Banking group represent "deeply unsettling times" for staff.

Unite union: 'Deeply unsettling times for Lloyds staff'. Credit: PA

These are deeply unsettling times for Lloyds staff, who, after days of speculation and leaks, face yet another round of job cuts and a future of uncertainty.

Job cuts of approximately 10% could have unknown consequences on customer service and will put even more pressure on staff who have helped get the bank back on the right track.

– Rob MacGregor, national officer of the Unite union

Lloyds sets aside £900m for payments over PPI scandal

Lloyds sets aside total of £900m for PPI payments. Credit: PA

Lloyds balance sheet had to take into account one off charges including a £900 million increase in provision for payment protection insurance (PPI) scandal. It takes the running total of the sum set aside for PPI by Lloyds to £11.32 billion.

Over the last three years the successful delivery of our strategy has ensured that we have become a safe, highly efficient, UK-focused retail and commercial bank.

The next phase of our strategy will use these strong foundations as a basis for meeting the rapidly-changing needs of our customers, and sets out how we will grow the business in a way that will deliver increasing and sustainable returns for our shareholders.

– Chief executive Antonio Horta-Osorio

The job cuts announced by Lloyds represent around 10% of its current workforce of 88,000. It has already slashed more than 30,000 since the start of the financial crisis.

Lloyds announces job losses while profits rise 41%

The group, which is 25% owned by the taxpayer, said it plans to "digitise" the bank, adding that it wants to simplify the business and be more efficient.

Meanwhile, third-quarter results showed underlying profits for the business, which includes Halifax and Bank of Scotland, up 41% to £2.2 billion.

Lloyds announces job losses while profits rise 41%.

Bottom line pre-tax profits were £693 million after taking into account one-off charges including a £900 million increase in provision for payment protection insurance (PPI) scandal.

Advertisement

Report: Lloyds to cut 9,000 jobs over next three years

At least 9,000 jobs will be axed at Lloyds Banking Group over the next three years along with an unknown number of branch closures, Reuters has reported, citing sources.

The cuts would amount to 10 per cent of Lloyds' workforce and follow some 30,000 job axings by the company since the financial crisis of 2007 to 2009.

The Government still holds a 25 percent stake in Lloyds Banking Group after a £20.5 billion pound bailout in the wake of the financial crisis. Credit: Paul Faith/PA Archive

Reuters reported the job cuts will be announced by Chief Executive Antonio Horta-Osorio in a three-year strategy review next week.

The report said the increase of online transactions and automated bureaucracy will lead to the closure of some branches.

Scotland-based financial institutions see shares fall

Shares in Scotland-based financial institutions Royal Bank of Scotland, Lloyds Banking Group and Standard Life fell by more than 2% in the wake of the latest opinion poll.

Perth-based energy supplier SSE was also fell.

RBS and Lloyds have seen shares fall by 2%. Credit: Philip Toscano/PA Wire

Edinburgh-based Standard Life, which has been based in Scotland for 189 years, recently complained that it was still in the dark over "material issues" surrounding independence.

Load more updates