|Former type||Public Limited Company|
|Fate||Merger with Trustee Savings Bank (TSB Group Plc)|
|Successor(s)||Lloyds TSB Group Plc|
|Founded||1765 (Incorporated 1865)|
|Headquarters||71 Lombard St. London EC3|
|Products||Banking and Insurance|
|Subsidiaries||National Bank of New Zealand|
Lloyds Bank Plc was a British retail bank which operated in England and Wales (and to a much lesser extent Scotland) from 1765 until its merger into Lloyds TSB in 1995; it remains a registered company but is currently dormant. Lloyds Bank expanded during the nineteenth and twentieth centuries and took over a number of smaller banking companies. In 2009, following the acquisition of HBOS, Lloyds TSB Group was renamed Lloyds Banking Group and in 2010 it was announced that the Group's principal subsidiary, Lloyds TSB Bank, will transition back to the Lloyds Bank name in 2013.
The origins of Lloyds Bank date from 1765, when button maker John Taylor and iron producer and dealer Sampson Lloyd II set up a private banking business in Dale End, Birmingham. The first branch office opened in Oldbury, some six miles (10 km) west of Birmingham, in 1864. The symbol adopted by Taylors and Lloyds was the beehive, representing industry and hard work. The black horse device dates from 1677 when Humphrey Stokes adopted it as sign for his shop. Stokes was a goldsmith and "keeper of the running cashes," an early term for banker and the business became part of Barnett, Hoare & Co. When the bank took over that bank in 1884, it retained the black horse as its symbol.
This private bank converted into a joint-stock company known as Lloyds Banking Company Ltd. in 1865. Two sons of the original partners followed in their footsteps by establishing a bank—Barnetts, Hoares, Hanbury and Lloyd—in Lombard Street, London. Eventually, this became absorbed into the original Lloyds Banking Company, which became Lloyds, Barnetts and Bosenquets Bank Ltd. in 1884 and finally Lloyds Bank Limited in 1889. There is no connection in origin between Lloyds Bank (no apostrophe) and Lloyd's of London, Lloyd's Register or Lloyd's List (which were spawned by Lloyd's Coffee House).
Through a series of mergers, including Cunliffe, Brooks in 1900, the Wilts. and Dorset Bank in 1914 and the Capital and Counties Bank in 1918, Lloyds emerged to become one of the big four clearing banks in the United Kingdom. By 1923, Lloyds Bank had made some 50 takeovers, one of which was the last private firm to issue its own banknotes—Fox, Fowler and Company of Wellington, Somerset. Today, the Bank of England has a monopoly of banknote issue in England and Wales.
In 1968, a failed attempt at merger with Barclays Bank and Martins Bank was deemed to be against the public interest by the Monopolies and Mergers Commission. Barclays finally acquired Martins the following year. In 1972, Lloyds Bank was a founder member of the Joint Credit Card Company (with National Westminster Bank, Midland Bank and the Royal Bank of Scotland) which launched the Access credit card (now MasterCard) and in the same year it introduced Cashpoint, the first online cash machine to use plastic cards with a magnetic stripe. In popular use, the Cashpoint trademark has become a generic term for an ATM in the United Kingdom.
In 1986, the Bank made a hostile takeover bid for Standard Chartered Plc. The bid was defeated, however, it spurred Standard Chartered into a period of change, including a series of divestments notably in the United States and South Africa. In 1988, the Bank merged five of its businesses with the Abbey Life Insurance Company to create Lloyds Abbey Life.
Trustee Savings Bank 
Later in 1995, Lloyds Bank announced its merger with the Trustee Savings Bank (TSB Group) to form Lloyds TSB Group Plc, at that point the largest bank in the UK by market share and the second-largest to Midland (now HSBC) Bank by market capitalisation. The TSB had been founded by the Revd. Henry Duncan of Ruthwell, Dumfriesshire in 1810, but only incorporated under the Companies Act in 1985. Lloyds' three Scottish branches were absorbed into TSB Scotland, as Lloyds TSB Scotland, a separate subsidiary to Lloyds TSB Bank in England and Wales. TSB Northern Ireland had already been sold to Allied Irish Banks in 1991, becoming First Trust Bank. While First Trust Bank inherited the right of AIB to issue its own banknotes, savings banks never had this right in either Northern Ireland or Scotland. Lloyds Abbey Life became a wholly owned subsidiary of Lloyds TSB Group in 1996, absorbing Hill Samuel in 1997 before closing to new business in 2000.
Overseas operations 
1911 saw the formation of Lloyds Bank (France) when Lloyds Bank acquired Armstrong and Co., based in Paris and Le Havre. From 1917 it was run jointly as Lloyds and National Provincial Bank. In 1955, Lloyds Bank bought full ownership and it became Lloyds Bank (Foreign) and later Lloyds Bank Europe.
In April 2013 Lloyds Bank announced that it was selling its loss-making retail and private banking business and the local investment management business in Spain to Banco Sabadell. Lloyds will receive a 1.8% stake in Sabadell, worth about €84 million, plus an additional sum of up to €20 million euros over the next five years.
Bank of London and South America 
A strong connection with South America began in 1918 with the acquisition of the London and River Plate Bank. The later merger with the London and Brazilian Bank resulted in the Bank of London and South America. The Bank of London and Montreal was a joint venture between the Bank of London and South America and the Bank of Montreal. In 1971, Lloyds Bank bought the controlling interest in BOLSA and merged it with Lloyds Bank Europe to form Lloyds and Bolsa International Bank. This became Lloyds Bank International in 1974 and was merged into Lloyds Bank in 1986.
National Bank of New Zealand 
In 1872, the National Bank of New Zealand was founded in London as an overseas bank and shared many directors with Lloyds Bank. In 1919, Lloyds Bank acquired a small interest in the National Bank and in 1966, purchased it outright. In 1978, the National Bank moved its head office from London to Wellington.
An already commanding presence as the National Bank of New Zealand was further strengthened in 1994 by the takeover of the Rural Bank, the former New Zealand government owned bank, from Fletcher Challenge, making it the leading provider of agricultural finance in the country.
In 2003, Lloyds TSB sold the National Bank to the ANZ Banking Group. ANZ announced that the National Bank brand (including the former Lloyds bank colours and horse) will be phased out by 2014.
In 1961, Lloyds Bank transferred its Eastern Division to National and Grindlays Bank in exchange for a 25 per cent share in National and Grindlays Bank (renamed Grindlays Bank in 1975). The bank retained its interest in Grindlays until 1984, when it was sold to the Australia and New Zealand Banking Group.
North America 
The Bank of London and Montreal was a joint venture between the Bank of London and South America and Canadian Bank of Montreal established in 1958 and headquartered in Nassau, Bahamas. In 1970, BOLSA fully acquired BOLAM.
Lloyds Bank of Canada was formed in 1986, when the bank purchased the Continental Bank of Canada. In 1990, after several years of losses, Lloyds Bank sold its Canadian operations to the Hong Kong Bank of Canada, a subsidiary of HSBC Holdings Plc.
After the 2008 rescue of HBOS, Lloyds TSB Group was renamed Lloyds Banking Group. In 2009, following the liquidity crisis, HM Government took a 43.4% stake in Lloyds Banking Group and it was subsequently announced that a standalone retail banking business of 600 branches, including the TSB brand, would be divested by the Group to comply with European Union state aid requirements. As a consequence, Lloyds TSB Bank will be rebranded as Lloyds Bank by the end of 2013.
See also 
- No. 3695891, incorporated 11 January 1999. The original company No. 2065, incorporated 20 April 1865 became Lloyds TSB Bank on 28 June 1999
- Lloyds Bank About Lloyds TSB (retrieved 11 October 2008)
- A brief history of banknotes Bank of England (retrieved 11 October 2008)
- Roskill QC, Sir Ashton (chairman) Barclays Bank, Lloyds Bank and Martins Bank: a report on the proposed merger (Chapter 1, Chapter 2 and Appendices) Presented to Parliament in pursuance of section 9 of the Monopolies and Restrictive Practices (Inquiry and Control) Act 1948 (as applied by section 6(5) of the Monopolies and Mergers Act 1965) London: HMSO, 15 July 1968
- History of Plastic Cards The Association for Payment Clearing Services, 9 January 2006
- Lloyds Bank Emblem and Allegorical Figures (Security and Commerce?) Public Monument and Sculpture Association, National Recording Project (retrieved 23 November 2009)
- Offer Sweetened By Lloyds Bank The New York Times, 28 June 1986
- About C&G Cheltenham and Gloucester (retrieved 11 October 2008)
- Trustee Savings Banks Act 1985 (cap. 58)
- Trustee Savings Bank About Lloyds TSB (retrieved 11 October 2008)
- Lloyds Bank Europe The Royal Bank of Scotland Group (retrieved 11 October 2008)
- Lloyds Bank (Merger) Act 1985 (cap. 9)
- National Bank of New Zealand About ANZ National (retrieved 11 October 2008)
- Anticipated acquisition by Lloyds TSB Group Plc of HBOS Plc Office of Fair Trading, 24 October 2008
- Change of Company Name RNS Announcements, Lloyds TSB Group, 16 January 2009
- Rights Issue and Capital Enhancement Proposals Presentations and Webcasts, Lloyds Banking Group, 3 November 2009
- Lloyds Bank outlines journey to new brand Press Release 99/10, Lloyds Banking Group, 13 September 2010
- Sayers, R. S. Lloyds Bank in the History of English Banking Oxford: Clarendon Press, 1957
- Winton, J. R. Lloyds Bank 1918–1969 Oxford University Press, 1982
- Jones, Geoffrey Lombard Street on the Riviera: British Clearing Banks and Europe 1900–1960 Business History, Vol. 24 No. 2 (pp. 186–210) July 1982