Lloyds Banking Group has announced a reduction of approximately 1,600 jobs across its branch network as part of an ongoing transition toward online banking.

The restructuring initiative also involves the creation of 830 positions within an expanded “relationship growth” team. This team aims to enhance customer interactions by providing support in branches, through video meetings, or over the phone.

The job cuts are not anticipated to impact the most junior employees, and voluntary redundancy options will be offered in some cases. The group, which encompasses Lloyds, Halifax, and Bank of Scotland, revealed that 8% of its customers exclusively rely on high street branches for managing their finances, while more than 21 million customers utilise online or mobile banking.

The restructuring will seek to optimise Lloyds’ service by offering more flexibility to customers in accessing the bank without the need for frequent appointments. Affected staff may have opportunities to transition to newly created roles or different segments of the business.

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A spokesperson for Lloyds stated: “As more customers choose to manage their day-to-day banking online, it’s important our people are available when it matters most.

“We’re introducing a number of new roles and making changes to our branch teams so our customers can see us how and when they want to.”