Halifax and Bank of Scotland are to retain their presence on the high street, after their planned merger with Lloyds TSB.
Further details of the Lloyds TSB/HBOS merger emerged today, in a strategy update from Lloyds.
The £12 billion, all-shares deal will see HBOS incorporated into Lloyds. Pressure for the merger came as the financial crisis worsened, with both firms seeking stability against the credit crunch and subsequent decline of the property sector.
There have been objections to the merger, primarily due to fears that a combined firm would be too large and therefore anti-competitive - and concerns that the move will lead to tens of thousands of job cuts. One pressure group, known as MAG, has won the right to have its case against the merger heard at a tribunal beginning next Monday.
In its update, Lloyds said that the merged bank would be "multi-brand". In other words, Bank of Scotland and Halifax - themselves the constituent parts of HBOS following a 2001 merger - will continue to maintain a branch network on the high street.
Eric Daniels, Lloyds TSB Group chief executive, said: "Lloyds TSB is committed to a multi-brand strategy for its banking business. We believe that our brands are the strongest in the UK retail financial services sector and we are very focused on growing and developing them.
"Lloyds Banking Group will have the largest branch network in the United Kingdom which means we will be able to provide an even higher level of service to our customers."
The merger is scheduled to complete in January 2009.
