FEARS RAISED OVER INTELLIGENT FINANCE FUTURE

MSP SEEKS REASSURANCES FROM UK GOVERNMENT

SNP MSP for Livingston, Angela Constance, has today written to Gordon Brown and Alasdair Darling, seeking assurances over the future of Intelligent Finance in Livingston.

Ms Constance has reacted with outrage at reports that Lloyds Banking Group may further centralise operations leading to potential redundancies for employees at Intelligent Finance in West Lothian.

Under Lloyds ownership Intelligent Finance has already been forced to stop issuing new mortgages as business is centralised in other brands.

Ms Constance has also raised the issue with Scotland’s Enterprise Minister Jim Mather.
Commenting Ms Constance said:
“From scrapping the provision of new mortgages to the centralisation of services Lloyds ownership is raising real concerns over the future of Intelligent Finance.

“Competition law was changed to allow the merger with HBOS and Lloyds to take place and here we are seeing one of the most competitive 'offset' mortgage products being withdrawn from the UK market place to be replaced with more traditional higher cost products such as fixed rates. This is not good news for the consumer and staff.

"Despite being the first bank to break even in three years and having a huge asset in their Livingston base, the newly formed Lloyds Banking Group are still set on centralising jobs to their bases in Halifax and Gloucestershire, with a huge potential cost to employees in West Lothian.

“It is deeply disappointing the banking group is to downgrade IF to providing savings accounts only, whilst servicing existing mortgage customers.

“Lloyds has a reputation for slashing jobs and that was one of the reasons why I personally opposed the Lloyds takeover of HBOS.

"As major shareholders in Lloyds Banking Group it is incumbent on the UK Government to protect staff, and to protect their interests. There is a real opportunity for a buyer to grow the business and build on past success. Indeed there are other established companies who provide financial services who have an interest in offset products.

“I would like to offer my support to all employees at Intelligent Finance and offer them the assurances that I will personally fight for every job. Lloyds Banking Group needs to think again on these issues."