Historic Halifax Brand Faces Uncertainty
The bank, originally a building society, has borne the name of the Yorkshire town since 1853, and many local residents believe the name should be preserved.
On a moody afternoon near the sandstone terraces of Halifax’s Gibbet Street, David Glover, a local historian, opens the gates to Lister Lane cemetery.
Usually closed to the public, the burial ground is being opened today as an exception. Among towering spires and the tombs of wealthy industrialists lie the founders of one of West Yorkshire’s most renowned exports: the Halifax building society.
“Halifax has a number of superlatives,”
said Glover, who serves as president of the Halifax Antiquarian Society. “It had the largest carpet manufacturer in the world, which was Crossley Carpets of Dean Clough. And it was the starting place of what became the greatest building society in the world, and I think everybody in Halifax is still quite proud of it.”
However, the legacy of the building society is under threat after it emerged this week that Lloyds Banking Group is considering phasing out the Halifax brand, which would remove the name from Britain’s high streets entirely. While Lloyds insists no final decision has been made, it is understood that the phaseout could begin as early as July, with a complete removal by October.
“They would be absolutely horrified,”
Glover said, reflecting on what the building society’s Victorian-era founders might think of the potential loss.
Lloyds acquired the Halifax brand nearly two decades ago in January 2009, following the financial crisis and government bailout that severely impacted the combined Halifax-Bank of Scotland group.
By that time, Halifax had long departed from its building society origins, having demutualised in the mid-1990s after Thatcher-era reforms. It transitioned into a publicly listed bank with shareholders before merging with the Bank of Scotland in 2001.
Seven years later, after the £20bn taxpayer-backed Lloyds takeover, HBOS became embroiled in one of Britain’s largest banking scandals, when it was revealed that managers at its Reading branch were mis-selling products and stripping customers of assets. An independent review, led by former high court judge Dame Linda Dobbs, is ongoing to determine whether Lloyds attempted to cover up the scandal.
Despite the loss of mutual status 29 years ago, and the controversies, takeovers, and government bailout, Halifax residents remain fiercely loyal to the brand.
Down the road, in a crystal shop lining Halifax’s historic and imposing Piece Hall—a former hub for Georgian textile trading—Jayne Spence, a 59-year-old shopworker, expressed her concern over the potential loss of the Halifax name on Britain’s high streets.
“I’ve always had an account with Halifax, mortgages with the Halifax, practically all my life, so it’s a big thing.”
She worries that “pencil pushers” at Lloyds may be underestimating the brand’s importance to local residents.
“It means a lot to the people of Halifax, which is where it started. It’s a big thing and [chancellor] Rachel Reeves, worked there, didn’t she? Think about the people that actually built the brand up. Think about the little people that have got you into such a high status, so to speak.”
Nasar Ahmed, 50, who worked at Halifax as a graduate before its merger with Bank of Scotland, shared his perspective.
“Growing up, obviously all my family banked with it. My dad came [to Halifax] in 1962 and he’s always banked with Halifax,”
he said, adding that his father, like many other customers, still referred to the lender as the Halifax building society.
Ahmed believes Lloyds is focusing on digital banking.
“They’re thinking about where their new customer base is, which is mainly online. So they’re getting rid of the high street brand, the high-street processes there. And they’re looking to reduce cost as much as possible.”
However, he noted that eradicating the brand would have a “massive” impact on loyal customers and the wider region.
“It will be a big loss to the high street. … even if it’s rebranded as Lloyds. Think about the loyalty to the brand, the commitment to the brand. People have still got a link to it, people have got affiliation to it, especially in Halifax: the birthplace of the bank itself. They’ve got a lot of love for it.”
Some Halifax residents, such as 35-year-old Dare Adekoya, expressed indifference.
“It’s just about the transition for the older generation,”
he said. “As a younger person, I don’t think it really makes any difference to me, you know what I mean? I’m not bothered.”
Halifax’s History Embedded in Town Centre
The building society’s history remains evident throughout Halifax town centre, including at the Old Cock pub, a 16th-century inn whose first-floor Oak Room served as a meeting place for the founders who launched what became the Halifax Permanent Benefit Building Society in 1853.
The Old Cock’s manager, Chris Woodhead, commented on the potential loss of the Halifax brand.
“It would be a shame because it’s been here for hundreds of years.”
However, he acknowledged the financial motivations behind such decisions.
“I mean, they’re all going to make their own decisions, aren’t they? To me it’s just money. That’s all it is, money.”
Lloyds also risks sending a negative message, including a perceived lack of regard for the north of England, according to Neil Kendall, chief executive of the Mid-Yorkshire Chamber of Commerce.
“I think the only reason for wanting to quash the Halifax brand and retain the Bank of Scotland brand is because of the political and nationalising noise that they get from quashing the Bank of Scotland brand.
“So what that says to local people here, is: ‘Well, it’s OK to trample on Halifax, but it’s not OK to trample on Scotland,’ you know? So we don’t matter in the north and … I’m afraid it bears witness in the results of the local council elections.”
Earlier this month, Calderdale council elections resulted in Labour winning 34 seats, while the Greens took seven. This was a setback for the Labour party, which previously controlled the council, and for the Conservatives, who lost all 11 of their seats.
As it stands, the Labour MP for Halifax, Kate Dearden, is advocating on behalf of the community and seeking answers from Lloyds executives.
“The Halifax bank brand is a source of immense pride for our community,”
she said. “Its recognition across the UK reflects the remarkable success of our town … These reports are therefore concerning, and I am seeking urgent clarification from Lloyds as to whether they are accurate.
“I strongly believe the Halifax brand should be retained and, if these reports prove to be correct, I will be making that case firmly at the highest levels and at every appropriate opportunity.”
Back at Lister Lane cemetery, near the monument marking the grave of Halifax building society co-founder Jonas Dearnley Taylor, Glover urged Lloyds executives to consider the historical significance of the brand.
“Why are you doing this? Why do you need to? It has been a separate brand for so long, is this really necessary?”
He noted that founders like Taylor would not recognize the bank Halifax has become.
“They would have been horrified when it became a bank back in the 1990s. I think that was something they would never have particularly wanted. We’ve gone way beyond that.”
Lloyds issued a statement saying:
“We regularly look at the role our brands play in supporting our customers. Our banking customers can already use any Lloyds, Halifax or Bank of Scotland branch, and see any of their products and services in any of their apps – there are no changes for our customers today.”
