London, July 1, 2026, 14:01 BST
- Lloyds Banking Group plans to phase out the Halifax name, shutting new account openings and moving current Halifax customers over to Lloyds. The move spells the end for a UK high-street staple after 173 years.
- About 36% of Lloyds’ 531 branches are Halifax-branded, or 190 locations. Lloyds said the rebrand won’t involve closing any branches.
- Lloyds was down 0.27% at GBX 110.80 as of 13:45 BST, putting its market cap near £64.28 billion.
- The brand cut hits ahead of Lloyds’ half-year results and strategy update set for July 30, with investors eyeing details around costs, digital spend and capital returns.
Lloyds Banking Group (LON:LLOY) will drop Halifax, the brand that started as a West Yorkshire building society in 1853, as it moves to simplify its business. Lloyds is trying a single retail-banking brand to see if it can squeeze more value from customers ahead of a strategy update scheduled for later this month.
Lloyds said it is ending new Halifax accounts and will gradually shift current Halifax customers over. Starting early 2027, the 190 Halifax branches will have their signs taken down. Lloyds said no branches are closing directly from this move. Bank of Scotland will remain for Scottish customers.
| Lloyds retail brand change | Current position | Investor read |
|---|---|---|
| Halifax branches | 190 | 35.8% of Lloyds’ 531 branches |
| Lloyds total branches | 531 | Big rebrand, no closures signaled |
| Branch signs | Removal starts early 2027 | Costs look spread over 2027, not all at once |
| Bank of Scotland brand | Stays in Scotland | Change doesn’t affect Scotland |
The investor story here isn’t nostalgia. Lloyds wants to drop overlapping retail brands as it works to meet its 2026 cost-income ratio goal. Right now, Lloyds is 190 basis points short. For the first quarter, the bank posted net income of £4.785 billion, operating costs of £2.474 billion, and a cost-income ratio at 51.9%. It’s aiming for below 50% by 2026.
Lloyds group chief executive Charlie Nunn said in April the bank was “confident in our delivery for the year ahead” and has a new strategy coming with the half-year results. That means the Halifax move lands the same month as the next investor update. Lloyds Banking Group
Lloyds shares didn’t move much after the update. The stock was trading down 0.27% at GBX 110.80 as of 13:45 BST, according to Google Finance. Lloyds opened at GBX 111.00 and hit a high of GBX 111.85 earlier in the session. Its 52-week high stands at GBX 114.60.
| Lloyds metric | Latest figure | Why investors care |
|---|---|---|
| Q1 net income | £4.785 bln | Drives operating leverage |
| Q1 operating costs | £2.474 bln | 3% lower from a year ago |
| Q1 cost-income ratio | 51.9% | Still running above the goal for 2026 |
| 2026 cost-income target | Less than 50% | Brand cuts help with cost plans |
| Q1 return on tangible equity | 17.0% | Beats the 2026 goal of over 16% |
| Q1 UK mortgages | £324.7 bln | Represents about 67% of core customer loans |
Jas Singh, Lloyds’ chief executive of consumer relationships, said Halifax customers will keep “the same fantastic app design, the same friendly faces in our branches — even the same sort code and account number.” Singh said customers will also get Lloyds products, including Club Lloyds, Lloyds Premier, Lloyds Ultra, and Lloyds Rewards. ITVX
Lloyds is bringing changes to the mortgage broker channel. Starting early 2027, Halifax Intermediaries will switch to the Lloyds Intermediaries brand. From July 7, brokers can apply the Lloyds Premier Current Account mortgage discount to Halifax mortgages, according to Financial Reporter. For the first time, brokers will also be able to arrange product transfers for existing Lloyds mortgage customers.
This is a big deal since mortgages make up Lloyds’ biggest loan book. UK mortgages totaled £324.7 billion at March’s end, compared with £486.2 billion in underlying loans and advances to customers. An easier path into the mortgage back book is more important than just swapping out the branch sign.
Lloyds managing director of intermediaries Esther Dijkstra said brokers won’t see “any change to our BDMs or the support we provide.” The bank is adding Lloyds Premier discounts to Halifax mortgages starting July 7. Financial Reporter
Lloyds’ wider branch closure problem is still here after the rebrand. MoneySavingExpert said that at least 247 Lloyds, Halifax and Bank of Scotland branches are set to go in 2026 and 2027—125 Lloyds, 94 Halifax and 28 Bank of Scotland. Earlier, Sky News said one round alone would hit 95 branches: 53 Lloyds, 31 Halifax and 11 Bank of Scotland.
Lloyds said around 3,000 staff will keep working at its Trinity Road site in Halifax, with no layoffs linked to the rebrand. The bank said customers don’t have to do anything now and will get more details about switching accounts.
