Lloyds Banking Group PLC (LON:LLOY) plans to axe a further 450 jobs in a bid to lower costs.
The lender said the job cuts will mainly include back office roles as it focuses on improving its online services.
Lloyds will create 255 new roles, meaning the net reduction in jobs is 195, as part of a £3bn investment in technology that was announced in the bank’s strategy update in February.
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In April the company said it would close 49 branches across the UK, resulting in 305 job losses, in response to more consumers opting to bank online or on mobile phones.
Traditional retail banks have had to contend with rising competition from online-only banks such as Monzo and Atom Bank as well as payment apps like TransferMate, Apple Pay and Revolut.
READ: Lloyds to close 49 branches, cut 305 jobs in UK
However, unions, lawmakers and some members of the public have criticised Lloyds on the cuts due to concerns about the impact it will have on staff and access to branches.
"Today’s announcement involves making difficult decisions, and we are committed to working through these changes in a careful and sensitive way," a Lloyds spokeswoman said.