Lloyds Bank to add 2,000 jobs in digital shake-up

Lender to cut 6,240 jobs and close a site in Kent but says it will create 8,000 new jobs as it moves increasingly online

Lloyds reported pretax profits of £1.8bn last quarter but is pressing on with plans to cut costs and adapt its business (Reuters)

Lloyds Banking Group confirmed on Tuesday that it would cut more than 6,000 jobs as part of an overhaul but said it would create 8,000 new roles as it moves to digitise its operations.

It is understood that Lloyds believes the majority of staff being made redundant will secure new positions.

However, the Unite union warned of "plummeting" staff morale at the lender and called for a guarantee that there would be no compulsory redundancies.

Lloyds has already axed 50,000 staff and closed 500 branches in recent years. Now a site in Gillingham in Kent will go, along with hundreds of jobs there.

A Lloyds Banking Group spokesperson said: “Lloyds Banking Group has today announced that it will create an additional c.2,000 roles, as it strengthens its capability to offer customers new leading-edge digital banking products and services.

“The Group is investing to further digitise the bank and will refresh some existing roles and create new roles within its structure, while also providing comprehensive retraining for colleagues to help them build their capabilities to meet the demands of these future roles.

Lloyds said the latest announcement was part of a £3bn commitment it made to invest heavily in technology and staff.

The bank reported pretax profits of £1.8bn last quarter but is pressing on with plans to cut costs and adapt its business.

Unite national officer Rob MacGregor said uncertainty for loyal staff was stacking up.

"This latest announcement will undoubtedly hit the morale of staff who have had to endure round after round of job cuts, branch closures and constant upheaval," he said.

“The news of additional jobs will prove to be a bitter pill for workers at Lloyd’s Gillingham site closure. These hard working staff face limited opportunities for redeployment, while other workers around the country could effectively be forced out of a job because they are unable to travel or move to where the new roles are located.

“Unite will be pressing Lloyds to guarantee no compulsory redundancies and ensuring that staff who move into new roles are given the support and skills that enable them to continue delivering the best possible customer service.”