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HSBC Bank England

The bank, whose UK retail bank employs 26, 000 staff and has millions of customers, plans to change the name of its branch network once it has been legally separated from the financial giant's global operations.

This will result in the HSBC brand and logo disappearing from Britain's high streets more than 20 years after the bank acquired Midland Bank.

The lender could revive the Midland Bank brand or broaden the use of First Direct, the name of HSBC's online bank - which has much higher customer ratings than its high street operations.

Midland Bank may be one option for a new name (Alamy)

As part of the plan, HSBC will cut up to 8, 000 staff in the UK. It has also said it will close roughly 12pc of its branches - although this will be spread across the bank's top seven markets; no specific figure has yet been given for branch closures in the UK. The bank has around 48, 000 staff and more than 1, 000 branches in the UK.

"We will operate with a different brand name, we haven’t decided what it is, we’re going to consult with customers and staff, " he said.

The new laws are being introduced to protect customer deposits if a bank fails, meaning that the government will not have to step in to protect savings, as with Royal Bank of Scotland and Lloyds in 2008.

The ring-fenced operations will be separately run and capitalised, although the rules are not yet fully formed. Depending on what the Bank of England decides, HSBC may sell the ring-fenced bank.

This won't be a sight on high streets for much longer (PA)

While HSBC's reputation has taken a knock amid tax evasion and money laundering scandals, Mr Gulliver said the decision to rename the bank was simply to ensure that the bank's corporate customers did not get confused about which entity they were doing business with.

"It's about clients working out which one they're dealing with, " he said.

The global company, which operates in dozens of countries and provides banking services to large companies and institutional clients, will retain the HSBC brand.

HSBC's retail banking in the UK - a timeline

1836

The Birmingham and Midland Bank opens for business in Union Street, Birmingham

1898

After acquiring City Bank, it becomes the one of the four largest banks in the UK. Moves into its new headquarters in London's Threadneedle Street.

1930

Unveils its new headquarters in the City of London's Poultry, designed by architect Sir Edwin Lutyens, and dubbed 'the palace of finance'.

1958

Becomes the first UK bank to offer unsecured personal loans, offering between £50 and £500 at a fixed rate of 5%

1984

Becomes the first UK bank to start offering free current accounts

1989

Launches First Direct, the UK's first telephone bank

1992

HSBC acquires Midland Bank

1999

Rebrands all high street retail banking under HSBC name

2002

Establishes its global headquarters in Canary Wharf, London

Bank of England announces ring fencing around retail operations for banks holding at least £25bn in deposits to protect from investment banking. HSBC claims it will cost up to £2bn to implement

Source: www.telegraph.co.uk
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