Lloyds discontinues its mobile bank branch service

One of the leading UK banks, Lloyds Banking Group, recently decided to close its mobile bank branch service, which has seen vans drive to towns across the UK to offer an alternative service to stationary branches.

Lloyds Bank to end mobile banking van service.

54 bank branches shut each month, now mobile services too.

People have bailed out banks, handed billions of QE, act as lenders of last resort, guarantee safety of bank deposits.

What do we get in return?https://t.co/D9C4i2KdSJ

— Prem Sikka (@premnsikka) January 29, 2024

Lloyds continuous to shut down services as their usage drops

Lloyds initially shut down hundreds of branches across the country last year, with the announcement that another 1,600 branch jobs will be cut in 2024, at least according to its plans so far. The branches were shut down as the public stopped using them since most of Lloyds’ UK users are now heavily invested in mobile banking.

However, Lloyds’ initial intention was to still offer face-to-face banking through a mobile bank service. Essentially, the bank has prepared vans that would travel to various towns across the UK, and serve as a replacement for traditional branches.

Now, according to new reports, Lloyds has decided to stop this type of service as well. The service will still continue for a few more months, but the bank intends to have it fully discontinued in May 2024.

The vans, which are still traveling from one location to another, allow Lloyds’ customers to withdraw cash, pay bills, cash cheques, and even send money abroad. However, the bank stated that visits to its mobile branches have dropped significantly over the years.

Since 2018, Lloyds recorded a 90% drop in visits to its moving banks. These days, in 2024, the bank says that some of the vans tend to see as few as two customers. With the service being largely unnecessary for the large majority of its clients, it has decided to end it.

Plans for the future

However, this is not the end of Lloyds’ face-to-face services in these locations. The bank said that customers along the stops will still be able to access cash through free ATMs or the Post Office. In addition, Lloyds also intends to add 43 community bankers at the locations, which will be able to accept clients and provide in-person banking services when there is a need.

As mentioned earlier, Lloyds recently announced plans to cut 1,600 jobs in its branch network, which will lead to its additional shrinking in weeks and months to come. Meanwhile, the bank intends to create over 800 new roles within its relationship growth team.

These will be the roles that will contribute to the further development of its digital-first service, as the bank intends to completely retool its service moving forward. With the future of banking being digital, Lloyds intends to start its preparations and help customers migrate from the old, traditional banking into the new, digital version of it.