Page last updated at 09:00 GMT, Friday, 5 December 2008

Bank of Scotland brand 'to stay'

HBOS sign
Lloyds TSB says it plans a multi-brand approach for the business

Lloyds TSB intends to keep the Bank of Scotland brand if its planned takeover of HBOS goes through in January, it has been announced.

The combined group would use the name Bank of Scotland for its retail and corporate business in Scotland.

The present HBOS head office on the Mound in Edinburgh is to become the Scottish headquarters for the Lloyds Banking Group.

Lloyds Banking Group would have the largest branch network in Scotland.

The Halifax brand and retail branch network will continue to operate alongside Lloyds TSB in England and Wales.

Bank of Scotland is an iconic brand which we look forward to developing even more in the years to come
Archie Kane
Lloyds TSB Group
No decision has yet been taken about the use of the Bank of Scotland Corporate brand outside Scotland.

Lloyds TSB said the integration process would extend over a two to three year period, once the proposed acquisition completes in January 2009, after which time Lloyds TSB Scotland and Halifax would not be used as banking brands in Scotland.

On the Mound, a Scottish Executive Committee would be created to represent retail banking activities, wholesale, insurance and wealth and international divisions of the Lloyds Banking Group.

Archie Kane, who will represent the Lloyds Banking Group in Scotland, said: "The combined group will have a very strong presence in Scotland.

"Bank of Scotland is an iconic brand which we look forward to developing even more in the years to come. We are also very focused on integrating Bank of Scotland and Lloyds TSB Scotland businesses over the next two to three years.

It is vital that management do not forget the impact of any changes on all the stakeholders, including staff, local business and communities
Derek Simpson
Unite

"Lloyds Banking Group will have the largest branch network in Scotland which means we will be able to provide an even higher level of service to our customers."

An HBOS spokesman said: "We welcome today's decision about Bank of Scotland. We believe the multi-branding approach Lloyds TSB has adopted is the right one."

Lloyds TSB said a detailed review of the new group's proposed branch network was currently being undertaken and this would not be completed for some time.

The group said that there would be no change to the current brands, branches or staffing levels until that review was completed.

Derek Simpson, Unite joint general secretary, said the union would fight to ensure no branches were closed in areas where they were currently the last bank locally.

He said: "It is vital that management do not forget the impact of any changes on all the stakeholders, including staff, local business and communities.

"Unite the union will not accept any compulsory job losses."



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