Lloyds TSB is offshoring its finance and accounting operations to India, under a five-year multi-million pound deal with Xansa.
Under the agreement, Xansa will provide the bank with accounts payable, employee expenses and fixed asset accounting services, from its outsourcing centres in India.
Xansa says it will process over 330,000 invoices and 144,000 expense claims for Lloyds TSB each month.
Lloyds TSB said the deal would help it to transform and standardise its operations to provide “significant cost savings”. It will also enable it to achieve service improvements, said the bank.
Xansa, which already provides offshore back office services to Lloyds TSB from its Indian outsourcing delivery centres, says the deal is one of the first F&A outsourcing contracts with a major UK financial services player.
The bank has not said whether the deal will lead to any job losses in the UK.