UK bank TSB reported losses of £107.4m ($138.4m) and 26,000 customers in H1, because of its botched IT migration to a new Banco Sabadell platform. However, 20,000 new customers opened an account with the bank in Q2. TSB recruited more than 1,800 people and moved 700 staff to customer-facing roles amid the migration chaos, while forgoing £176.4m income for post-migration costs, such as customer compensation and waived fees and interest charges. The Bank of England has been criticised by MPs on both sides of the Atlantic after it announced that it would not raise rates until at least mid-2017.
UK bank TSB reported losses of £107.4m ($138.4m) and 26,000 customers in H1, because of its botched IT migration to a new Banco Sabadell platform. However, 20,000 new customers opened an account with the bank in Q2. TSB recruited more than 1,800 people and moved 700 staff to customer-facing roles amid the migration chaos, while forgoing £176.4m income for post-migration costs, such as customer compensation and waived fees and interest charges. Meanwhile, Banco Sabadell's Spanish rival, BBVA, reported €2.65bn ($3.07bn) profit in H1, attributed to its expansion into digital banking.