Customer Complaints Data

January - June 2014

Our ongoing commitment to doing the right thing for our customers and giving them the right outcome, faster.

Lloyds Banking Group renewed our public commitment at the beginning of the year to reduce complaints on our journey to becoming the best bank for customers. In the first half of 2014, we delivered a further 9% reduction in the total volumes of complaints we receive compared with the same period last year. While the total number of reportable complaints has increased over the same period, the Group continues to receive fewer complaints than any other major bank on a like for like basis.

  • Compared with the first half of 2013, the Group's FCA reportable complaints in the first six months of this year, excluding those relating to PPI, went from 104,590 to 129,469. This increase has been driven largely by complaints relating to mortgages following the industry implementation of MMR, issues arising from the introduction of auto enrolment for corporate pension schemes and an increase in banking complaints driven by Claims Management Companies (CMCs).
  • The Financial Ombudsman Service has not yet announced the industry results for the first half of 2014. These figures will be published on this site when they are available. However, we do know that the Group continues to perform well when benchmarked against its peers and that we will maintain an industry leading position for our change rates in a number of product groups. This is testament to the fact that we are continuing to make the right decisions for our customers.
  • PPI complaints continue to account for a significant, but reducing, proportion of all complaints received by the Group. In the first half of 2014, PPI complaints accounted for 78% per cent of all complaints. The Group continues to proactively manage the issue of PPI complaints in order that customers can receive redress if they have been mis-sold.  
  • Throughout 2014, we have improved our customers’ view of complaint handling by over 9 points in our branches and 20 points in our telephony centres. This is measured by the Net Promoter Score, the industry-wide metric that rates the likelihood of customers recommending us to others.

“We continue to listen to customer and colleague feedback to identify and remove the causes of customer complaints. We have made strong progress in reducing complaint volumes but we remain committed to doing even more to enhance the customer experience by making it easier to do business with us and becoming more responsive to customer needs. This supports the Group’s goal of becoming the best bank for customers” says Martin Dodd, Customer Services and PPI Director.

Putting Customers First

As part of our strategy to become the best bank for customers, we are continually listening to customer’s feedback to improve their banking experience. In addition, through ongoing Root Cause Analysis and Simplification activity, we continue to address the root causes of customer complaints and improve the supporting complaints processes.

Throughout 2014 we will deliver c. 200 improvements, which will address the cause of complaints and reduce incoming complaint volumes by 10%. Below are a few examples of how we are improving the service we offer our customers:

  • When a customer has cause to complain it is essential that we resolve the issue quickly and put them back in the position they would have been if they had no cause to complain. To support this, we have introduced automatic payments linked to our complaint system. Payments are now credited to customers’ accounts within hours of their complaint being resolved. This is a huge improvement as previously customers could wait from 3 days for a BACS transfer to potentially over a week for a cheque. This is a key step in our complaint journey and vital to becoming the best bank for customers.
  • Customers were telling us that there were issues around time delays when waiting for Product Transfer forms through the post and returning these to us, when they wanted to take advantage of a new mortgage rate. At the end of March we changed this process; customers are now able to receive the Declaration by email and email us back to confirm they are happy to proceed. This has reduced the completion time for a Product Transfer application from days to, in some cases, as little as an hour. We are seeing a reduction in complaint volumes of c.230 per month as a result
  • The Group is committed to becoming the best bank for all our customers. To this end, we have introduced a number of improvements to make our products and services accessible for our customers with disabilities. In March we introduced the Disability Service Kit in all out branches. This includes items such as walking-stick holders, magnifying sheets, easy grip pens and the contact number for our dedicated Disability Services Support Team, which helps customer-facing colleagues provide alternative formats and services for our disabled customers. This is just one example of who we are working to ensure we are providing excellent customer service for all our customers across all our brands and channels.

We will continue to focus on listening to our customers and removing the cause of their complaints. Our success is a critical component in the Group achieving its vision of becoming the best bank for customers and our focus remains to do the right thing for our customers.

More information…

To help you interpret the information we have provided a glossary of terms which explains key references in the publication reports.

The Financial Services Authority publishes collective complaints data covering all firms.

The Financial Ombudsman Service publishes separate complaints data on the number of complaints referred to it by individual firms.

To view complaints information for any firm of Lloyds Banking Group reporting more than 500 reportable complaints in the previous six month reporting period you can click on the links below each of the brands.