Barclays has today announced that Barclays Bank UK PLC has entered into an agreement to acquire Tesco’s retail banking business and enter into an exclusive long-term partnership to offer Tesco credit cards, personal loans and deposits.
Tesco’s retail banking customer base is broadly similar to Barclays UK’s existing customers and will complement Barclays’ current business as well as build on its existing UK strategic partnerships with other leading brands in retail, consumer electronics and loyalty programs.
The acquisition and partnership are subject to regulatory approval and are expected to close in the second half of 2024. Once completed, Barclays will welcome approximately 2,800 Tesco colleagues to Barclays.
CS Venkatakrishnan, Group Chief Executive of Barclays, commented:
“This strategic relationship with the UK’s largest retailer will help create new distribution channels for our unsecured lending and deposit businesses. We are able to bring our partnership card expertise developed over decades in the US to further strengthen the highly successful Tesco Clubcard loyalty program.
“This partnership with Tesco is further evidence of the investment we continue to make in our UK consumer business. We look forward to working closely with the Tesco team over the coming months to enable a smooth transition and, subject to completion of the transaction, look forward to welcoming Tesco Bank colleagues and customers to Barclays.”