António Horta-Osório, the new chief executive of Lloyds Banking Group, has angered unions by announcing plans to cut 570 jobs and outsource up to 600 roles.

The upcoming plans by Lloyds will increase total job losses since HBOS rescue to 27,000 as the management cuts staff to reduce costs and try to bolster profits.

António Horta-Osório stated that the job cuts were a direct result of the integration of Lloyds and HBOS. Jobs in the wholesale, retail, insurance, group operations and human resources divisions will be lost.

Unions said that up to 600 jobs were to be outsourced. Lloyds announced 450 of those positions when it said roles inside its cheque and credit processing division would move to iPSL, a joint venture set up a decade ago by Unisys, Barclays and Lloyds TSB. HSBC is also a part-owner. The outsourcing specialist already handles such tasks for the bank and it is understood that another 110 people are likely to be transferred to other outsourcing companies shortly.