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UK: Lloyds’ help to spun-off TBS threatens competitive edge

By  |  September 12, 2013

While the European Union has ordered Lloyds bank to divest TSB and run it as a separate entity as part of its bailout, the UK’s Office of Fair Trading has warned that TSB’s dependency on Lloyds could potentially harm competition.

Under the bailout agreement, Lloyds sold 632 branches but will aid TSB in its re-entry into the market financially and strategically. Lloyds will outsource IT support for TBS until at least 2016, say reports.

That help, however, could negatively impact TBS’s ability to compete, warned the OFT, which also suggested that TSB learn to differentiate itself from its former owner.

Full Content: Computer World UK

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