A PYMNTS Company

UK: TSB bank reemerges following regulatory overhaul

 |  September 6, 2013

After an 18-year absence, TSB bank will return to the UK’s high street after its owner, major retail bank Lloyds Banking Group, gears up to run the bank as a standalone unit and, eventually, divest it entirely in 2014.

The move is part of a larger effort by UK regulators to spark competition in the baking sector largely dominated by just a few banks; reports say Lloyds, RBS, Barclays, HSBC and Santander control about 83 of retail accounts.

But recent consumer distrust of banks and various scandals have lead watchdogs to boost competition in hopes of setting higher, stricter standards for the banks’ business practices.

As part of that plan, the European Commission required Lloyds to sell TBS branches as part of its $32 billion bailout. Reports say TBS will have 361 branches with a major, multi-million dollar marketing boost from Lloyds.

Full Content: Reuters

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.