Lloyds considers scrapping Halifax brand after 173 years on high street

Lloyds Banking Group is considering plans to phase out Halifax in a move which could bring an end to the 173-year-old brand.

Bosses are expected to announce the end of Halifax as a standalone brand this summer, according to reports in The Sun.

It is understood that no decisions have been made about the future of the brand, which granted its first mortgage in 1853.

But, if it were to be phased out, there would be no change to customers’ 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.”

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 will stop taking on new customers entirely and existing account holders will be gradually migrated to Lloyds Bank, reports say.

Lloyds declined to comment on the potential timings for any plans.

Britain’s biggest mortgage lender made changes last year that meant its three brands, Lloyds, Halifax and Bank of Scotland, could share branches and mobile banking services.

The shake-up meant some customers could access to a branch that is closer to their home because they will be able to access face-to-face banking regardless of the brand.

However, the banking giant has also shut hundreds of high street branches over recent years.

It started another round of closures this month, with 95 due to be shut 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.