TSB Bank has been fined £48.7million after a computer crash left its customers unable to access their bank accounts. The issue took place in 2018 when the bank attempted to upgrade its computer systems but the transfer went wrong.
The botched IT upgrade left many of its 5.2 million customers unable to access their bank accounts. The Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA) fined TSB for "widespread" in how it handled the transfer of its ITS systems and customer data onto its new platform. The issues affected the company's bank network as well as internet, mobile and telephone banking.
Mark Steward, FCA executive director of enforcement and market oversight, said: “The failings, in this case, were widespread and serious which had a real impact on the day-to-day lives of a significant proportion of TSB’s customers, including those who were vulnerable. The firm failed to plan for the IT migration properly, the governance of the project was insufficiently robust and the firm failed to take reasonable care to organise and control its affairs responsibly and effectively, with adequate risk management systems.”
