Lloyds Banking Group is considering plans to phase out the Halifax brand, a move that could bring an end to the 173-year-old high street name. According to reports in The Sun, bosses are expected to announce the end of Halifax as a standalone brand this summer.
No Final Decision Yet
It is understood that no decisions have been made about the future of the brand, which granted its first mortgage in 1853. If Halifax were to be phased out, customers would see no change to their account numbers or the protection they automatically have under the Financial Services Compensation Scheme (FSCS) for if banks fail.
A spokeswoman for Lloyds said: “We regularly look at the role our brands play in supporting our customers. Our banking customers can already use any Lloyds, Halifax or Bank of Scotland branch, and see any of their products and services in any of their apps – there are no changes for our customers today.”
Potential Timeline
The Sun reported, citing industry insiders, that any transition would begin on July 1, when people will no longer be able to open new Halifax accounts online or through the app. By October, Halifax would stop taking on new customers entirely, and existing account holders would be gradually migrated to Lloyds Bank. Lloyds declined to comment on the potential timings for any plans.
Branch Sharing and Closures
Britain’s biggest mortgage lender made changes last year that allowed its three brands—Lloyds, Halifax, and Bank of Scotland—to share branches and mobile banking services. This meant some customers could access a branch closer to their home, regardless of the brand. However, the banking giant has also shut hundreds of high street branches in recent years. A new round of closures began this month, with 95 branches due to close across the three brands by March next year. This will leave the group with 610 branches in total: 306 Lloyds, 238 Halifax, and 66 Bank of Scotland.
Halifax and Lloyds operate in the same market in England and Wales, while Bank of Scotland is the group’s only brand in Scotland.
