Lloyds, IBM in IT outsourcing deal

|By:, SA News Editor

Lloyds (NYSE:LYG) is set to agree a £1.3B contract with IBM to outsource many of its computer systems and shift more than 1,900 jobs to the IT services provider.

The deal, which will see most of the transferred employees lose their jobs after four years, is designed to cut almost £760M of costs while making Lloyds more nimble and responsive to changes in technology.