Britain's biggest retailer Tesco said today that its personal finance unit would open a customer centre in Scotland, creating 800 jobs and bringing the group nearer to providing full banking services.
Tesco Personal Finance (TFP), which provides credit cards, small loans and insurance policies, will open a new centre in Glasgow during the first half of 2010, the group said.
Tesco, the third largest supermarket group in the world, said the centre would be built with the help of a Scottish government grant worth £5m sterling.
As UK lenders such as Royal Bank of Scotland have fallen into state hands amid the ongoing credit crunch, Tesco has managed to win new customers for the limited financial services it offers.
'The opening of the new customer service centre will be a significant step towards TPF offering a full banking service,' said Andrew Higginson, chief executive of Tesco Retailing Services.
Tesco recently said it planned to open banking outlets in 30 of its UK supermarkets by the end of 2009 as it seeks to tap into growing public anger at the crisis-hit traditional banking sector, but won't be offering home loans.
