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| Version 7 | Version 8 |
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| Lloyds Bank confirms 9,000 job losses and branch closures | Lloyds Bank confirms 9,000 job losses and branch closures |
| (about 13 hours later) | |
| Lloyds Banking Group has confirmed 9,000 job losses and the net closure of 150 branches over the next three years. | Lloyds Banking Group has confirmed 9,000 job losses and the net closure of 150 branches over the next three years. |
| The latest job losses - representing about 10% of its workforce - come on top of 43,000 cuts made since 2008. | The latest job losses - representing about 10% of its workforce - come on top of 43,000 cuts made since 2008. |
| The bank said it would concentrate on urban branch closures first and has abandoned its pledge to keep open "the last branch in town". | The bank said it would concentrate on urban branch closures first and has abandoned its pledge to keep open "the last branch in town". |
| The group is also setting aside another £900m to cover possible payouts for the PPI mis-selling scandal. | The group is also setting aside another £900m to cover possible payouts for the PPI mis-selling scandal. |
| That has cost Lloyds £11.3bn so far, including £2.5bn in administration costs. | That has cost Lloyds £11.3bn so far, including £2.5bn in administration costs. |
| Other fines have topped £200m. | Other fines have topped £200m. |
| Lloyds, which owns the Halifax and Bank of Scotland brands, reported pre-tax profits of £1.61bn for the nine months to 30 September. | Lloyds, which owns the Halifax and Bank of Scotland brands, reported pre-tax profits of £1.61bn for the nine months to 30 September. |
| "The group is performing strongly," said chief executive Antonio Horta-Osorio. | "The group is performing strongly," said chief executive Antonio Horta-Osorio. |
| "We have met or exceeded the strategic objectives set out in 2011 and are ready to move on to the next stage in our development." | "We have met or exceeded the strategic objectives set out in 2011 and are ready to move on to the next stage in our development." |
| Branch closures | Branch closures |
| The bank says it will be closing 200 branches but opening 50 new ones, bringing the net closure figure to 150 - about 7% of its network of 2,250. | The bank says it will be closing 200 branches but opening 50 new ones, bringing the net closure figure to 150 - about 7% of its network of 2,250. |
| BBC business editor Kamal Ahmed has learned that Vince Cable, secretary of state for business, innovation and skills, intends to write to UK banks demanding that they re-commit to keeping "the last branch in town" open. | BBC business editor Kamal Ahmed has learned that Vince Cable, secretary of state for business, innovation and skills, intends to write to UK banks demanding that they re-commit to keeping "the last branch in town" open. |
| The present agreement brokered by the British Banking Association runs out at the end of the year. | The present agreement brokered by the British Banking Association runs out at the end of the year. |
| Lloyds is willing to look at a new commitment to keep rural branches, our editor has learned. | Lloyds is willing to look at a new commitment to keep rural branches, our editor has learned. |
| But in towns and cities the policy of no closures if the branch is more than a mile away from the next nearest "needs a rethink", according to banking sources. | But in towns and cities the policy of no closures if the branch is more than a mile away from the next nearest "needs a rethink", according to banking sources. |
| Job losses | Job losses |
| The Unite union has called on the bank to offer a "no compulsory redundancy guarantee". | The Unite union has called on the bank to offer a "no compulsory redundancy guarantee". |
| Spokesman Rob MacGregor added: "The wallets of top executives at Lloyds should not be getting fat by forcing low paid workers onto the dole. | Spokesman Rob MacGregor added: "The wallets of top executives at Lloyds should not be getting fat by forcing low paid workers onto the dole. |
| "If there are compulsory redundancies or customer service suffers then executive pay should be cut." | "If there are compulsory redundancies or customer service suffers then executive pay should be cut." |
| Analysis: Kamal Ahmed, BBC Business Editor | Analysis: Kamal Ahmed, BBC Business Editor |
| Lloyds doesn't want to get out of branch banking. It wants a new type of branch, complete with iPads and facilitated internet discussion screens, enabling chats with staff who may not be physically in the same branch as the customer. | Lloyds doesn't want to get out of branch banking. It wants a new type of branch, complete with iPads and facilitated internet discussion screens, enabling chats with staff who may not be physically in the same branch as the customer. |
| Seeing a customer face-to-face or via Skype makes "up-selling" easier - that is, encouraging someone to take on an insurance product or open a savings account. For that, branches are important. | Seeing a customer face-to-face or via Skype makes "up-selling" easier - that is, encouraging someone to take on an insurance product or open a savings account. For that, branches are important. |
| It also saves on head count, with Lloyds looking at opening some more remote branches for shorter hours so that staff can support a wider network. | It also saves on head count, with Lloyds looking at opening some more remote branches for shorter hours so that staff can support a wider network. |
| Banks, of course, are still victim to changes on the high street. | Banks, of course, are still victim to changes on the high street. |
| One banking chief executive has been heard to say that his busiest branch is the 07:20 commuter service into Waterloo - people on the train are doing their banking on their mobile phone. | One banking chief executive has been heard to say that his busiest branch is the 07:20 commuter service into Waterloo - people on the train are doing their banking on their mobile phone. |
| More from Kamal. | More from Kamal. |
| Mobile banking | Mobile banking |
| The closures and job cuts are due to customers switching towards mobile banking, the bank says. | The closures and job cuts are due to customers switching towards mobile banking, the bank says. |
| As a result, Lloyds will be investing £1bn in digital technology over the next three years. | As a result, Lloyds will be investing £1bn in digital technology over the next three years. |
| According to the banking trade body the BBA, digital banking transactions are now worth almost £1bn a day, with almost 40 million mobile and internet banking transactions every week. | According to the banking trade body the BBA, digital banking transactions are now worth almost £1bn a day, with almost 40 million mobile and internet banking transactions every week. |
| The bank remains confident that it will be able to pay a dividend to shareholders in 2014, but it needs the permission of the Prudential Regulation Authority (PRA) before it can do so. | The bank remains confident that it will be able to pay a dividend to shareholders in 2014, but it needs the permission of the Prudential Regulation Authority (PRA) before it can do so. |
| Finance director George Culmer said talks with the PRA were "in a good position". | Finance director George Culmer said talks with the PRA were "in a good position". |
| Spin-off | Spin-off |
| Earlier this year, Lloyds spun off the TSB bank as a separate floated business to appease European Union competition authorities. | Earlier this year, Lloyds spun off the TSB bank as a separate floated business to appease European Union competition authorities. |
| It has gradually been reducing its stake in TSB and now owns just 50%, Lloyds said. | It has gradually been reducing its stake in TSB and now owns just 50%, Lloyds said. |
| The government still holds a 25% stake in the bank, but has reduced its holding from about 39% through two separate share sales since September last year. | The government still holds a 25% stake in the bank, but has reduced its holding from about 39% through two separate share sales since September last year. |
| In early trading, shares in Lloyds Banking Group were down 1.5% on the news. | In early trading, shares in Lloyds Banking Group were down 1.5% on the news. |
| On Monday, its shares fell 1.8% after the European Banking Authority's results revealed that the bank only narrowly passed its "stress test". | On Monday, its shares fell 1.8% after the European Banking Authority's results revealed that the bank only narrowly passed its "stress test". |