Banking News Lloyds Abandons C&G Closure Plans 18469785

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Lloyds abandons C&G; closure plans

20 August 2009 / by Rebecca Sargent

Lloyds Banking Group confused experts yesterday by announcing it is reviewing the planned closure of its Cheltenham & Gloucester branches.

The news, which will be welcomed by the 900 staff who work at the C&G branches, has left investors baffled. And speculation is now rife over what the banking group’s next steps will be.

According to reports, some claim that the decision has been made to make way for the sale of the entire mortgage arm, while others fear heavier job cuts elsewhere.

And although the decision brings relief for some, employers union Unite has criticised the management at Lloyds Banking Group. Unite national officer Rob MacGregor said:

“This news will bring some relief to the 900 staff who work in C&G branches up and down the UK. The anxiety and stress they have endured over the last 10 weeks since they were told that they would lose their jobs smacks of poor management.

“Today’s announcement comes with no warning and will make the workforce wonder whether their bosses have any long term strategy for the future of the bank,” he said yesterday, adding:

“Unite finds it wholly unacceptable that the LBG changes its mind on the future of its staff as fast as the summer weather in this country.”

© Fair Investment Company Ltd

Written by Editorial Team