Halifax Bank of Scotland is one of the UK’s big four financial institutions, and whether separate or together, have been part of the highstreet for years. In fact, the bank holds 20% of all mortgages in the UK, and has millions of savers.

The events of the current economic climate though have caused unsteadiness, with the HBOS share price falling by more than three quarters.

But is a Super Bank a good idea for the UK? The new bank would have just under 40 million customers, with a 28% hold of the Mortgage market. (Under UK law, no financial institution is permitted to hold more than 25%.) The Bank would also have nearly 3000 branches, making it unmissable on the highstreet. 

The bank would offer unrivaled security, and would prevent collapse of HBOS, which if this were to happen could be devastating for the UK economy.

The bank would also have unrivaled financial powers, and would gain a controlling stake in the UK economy. However, with plentiful smaller alternatives,  I doubt it would really have an affect on the consumer.

JK