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Lloyds Banking Group under fire as MPs demand answers after customer transactions EXPOSED by IT glitch

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MPs are demanding an explanation from Lloyds Banking Group after a technical error resulted in customers’ private banking information being shared last week.

Customers of the banking group, which is made up of Lloyds Bank, Halifax, and Bank of Scotland, were able to see other


Dame Meg Hillier, who chairs the Treasury Committee, has sent a formal letter to Lloyds Banking Group chief executive Charlie Nunn seeking urgent answers regarding a technical fault that occurred on March 12.

The cross-party committee is demanding explanations after some banking app users gained access to account details belonging to other customers.

Lloyds Bank branch and Houses of Parliament

Lloyds Bank is under fire from MPs

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GETTY

“On the face of it, this is an alarming breach of data confidentiality,” Dame Meg wrote in correspondence dated March 17 and headed “improper disclosure of individuals’ account information.”

She added: “In the interests of transparency, I would welcome a set of responses from Lloyds Banking Group related to this troubling incident.”

The glitch affected customers using mobile applications for Lloyds, Halifax, and Bank of Scotland, all part of the same banking group.

Users reported seeing transactions that had nothing to do with their own accounts when they logged in.

Lloyds customerCustomers that prefer in-person service will feel frustrated by the change | GETTY/PA
The Lloyds Bank banking app is used on a Samsung Galaxy S4

Lloyds Bank apps have been hit by glitches in recent months

| PA

Among the information visible to others were direct debit payments, salary deposits and cash withdrawals. Some customers also reported seeing national insurance numbers linked to certain transactions.

One affected customer described her experience to the Press Association, saying she was shocked to discover she was “looking at someone else’s life” upon accessing her banking app.

The committee has requested detailed information on how many customers were affected by the incident, asking for separate figures distinguishing between those who viewed others’ data and those whose information was exposed.

Dame Meg also sought clarity on whether the bank can identify individuals whose details were wrongly shared, and how Lloyds intends to contact them.

Dame Meg Hillier speaking during the debate of the Terminally Ill Adults (End of Life) Bill

Dame Meg Hillier has written a letter to the Lloyds Bank chief executive

| PA

Questions about compensation feature prominently, with the committee wanting to know amounts already paid out and whether the bank will proactively reimburse customers unaware they were victims.

The letter further asks what measures are being taken to encourage anyone who copied data they should not have seen to delete it. The incident occurs against a backdrop of mounting concern over the reliability of banks’ digital infrastructure.

Last March, the Treasury Committee revealed that nine leading UK banks and building societies had experienced a combined 33 days of unplanned technology failures between January 2023 and February 2025, leaving millions unable to access their funds.

The Financial Conduct Authority (FCA) confirmed it was liaising with Lloyds to understand the circumstances and resolution of the breach, stating it expects firms to safeguard customer data and recover swiftly from disruptions.

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