Unite, Britain's biggest union, has expressed concern over the Co-op's decision not to proceed with buying 632 UK bank branches owned by Lloyds Banking Group (LBG).
The Co-op blamed the continued economic downturn and regulation for its decision to back away from the deal.
In 2008 LBG
was forced to divest 632 branches under EU rules, following the need for state aid. The sale was supposed to be completed by November 2013 and about 7,500 staff will be part of the divestment.
Unite national officer Dominic Hook said:
"The staff at the branches, which are up for sale, will be very anxious - they need certainty. All too often ordinary staff who are on the front line of customer service are overlooked. Unite is calling on the government and Lloyds to do everything possible to create options that will support UK banking, give customers choice and protect staff. The last thing staff and customers need is a fire sale of the branches which could lead to them falling into the wrong hands."
Contact Ciaran Naidoo on 07768 931 315
Notes to Editors:
- Unite is Britain and Ireland’s largest trade union with 1.5 million members working across all sectors of the economy. The general secretary is Len McCluskey.