Local staff staggered as Lloyds TSB reveals job cuts

LLOYDS TSB staff in Guernsey were rocked yesterday as it was announced the group plans to cut 242 jobs in the Channel Islands and Isle of Man.

But it quickly emerged that Jersey would bear the brunt of the losses.

A spokesman confirmed that 190 jobs would go in that island, with five in Guernsey, 19 in the Isle of Man and the rest in the international banking operation in London.

'By utilising natural turnover we are hoping to minimise the number of redundancies,' said the spokesman.

The bank, which merged with Halifax Bank of Scotland under the Lloyds umbrella last year following the UK Government bailout, confirmed that posts would be axed during the next two-and-a-half years.

Compulsory redundancies would be 'a last resort'.

Martin Fricker, Lloyds TSB Offshore islands director, said: 'I do regret that there will be a reduction of roles as a consequence of the merger of Lloyds TSB and HBOS in the islands. It is inevitable that bringing two organisations together will result in duplicated roles.'

The Lloyds Banking Group announced a number of organisational changes, mainly in its wealth and international division, which operates in more than 30 countries. It also wants to expand its banking, private client and asset management businesses, which has resulted in combining the group's banking businesses in the Channel Islands and the Isle of Man.