The UK banking sector is reportedly intensifying its investment in digital infrastructure, the representative body for the nation’s banks has stated amidst growing criticism following recent disruptions during payday.
Numerous customers faced issues ranging from sluggish online banking performance to complete account access blockages last Friday.
High-street names including Lloyds, Halifax, Nationwide, TSB, Bank of Scotland, and First Direct were implicated in the disruptions, which seem to stem from multiple, unrelated issues.
This incident marks the second consecutive month of payday-related problems, with no official explanations provided.
UK Finance, the sector’s spokesperson, has communicated to Sky News that support and safeguards are available to help customers during these disturbances, whilst recognising the frustration these issues cause.
This statement comes as both Members of Parliament and regulatory bodies are showing increased interest in the banks’ operational resilience, prompted by frequent technical setbacks.
In parallel, traditional banks continue to face scrutiny over their ongoing strategy of reducing branch networks, attributing these cuts to the rising demand for online banking services.
Since the financial downturn in 2008, major British banks have been consistently closing branches to decrease operational costs. Consumer group Which? reports that over 6,200 branches have been shuttered since 2015.
Last month, Lloyds Banking Group announced further closures, leaving only 386 Lloyds-branded and 281 Halifax branches operational in the near future, with Bank of Scotland planning to retain just 90 branches after the cuts.
Critics argue that banks have not adequately reinvested the savings from branch closures into enhancing their digital offerings.
However, a spokesperson from UK Finance has assured that “All banks are dedicating significant resources into their systems and technology to ensure customer accessibility to banking services is uninterrupted.
Where problems do occur, banks are committed to resolving these swiftly and are proactive in keeping their customers informed through their websites and social media platforms.”
