Lloyds to close 136 branches as people shift to apps

Published On Jan 29, 2025, 8:25 AM

Lloyds Banking Group is shutting down 136 branches, including 61 Lloyds, 61 Halifax, and 14 Bank of Scotland locations, by March next year due to a shift in customer behavior towards digital banking. The bank noted a 48% reduction in transactions at these branches over the past five years. While the closures are part of a broader trend in the banking industry, the bank assures that employees will be offered alternative jobs within the company. The government is promoting banking hubs to enhance accessibility to cash for vulnerable populations, though the number of such hubs remains limited.

Stock Forecasts

LYG

Negative

The continued shift to digital banking suggests that traditional banking models may face headwinds, impacting physical branch operations. Investors should be cautious with Lloyds as it navigates these changes, and anticipate potential declines in related financial metrics in the near term.

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