TSB names Debbie Crosbie as new boss after IT fiasco

TSB sign

TSB sign

The move will see the United Kingdom lender's current CEO Paul Pester step down after presiding over the introduction of a new IT system that plunged the bank into a meltdown that resulted in millions of its customers unable to access online banking services.

Crosbie, who is now group chief operating officer and executive director at CYBG, takes over from former chief Paul Pester, who was forced to fall on his sword following a bungled upgrade to a new computer system from Spansish parent Banco Sabadell.

"In an impressive field of candidates, Debbie stood out".

Chairman Richard Meddings said that, under her leadership, the bank will focus on "putting things right for customers".

She will step down as an executive director of CYBG with immediate effect but will remain as COO for a "period of time" to ensure an orderly handover to innovation and change director Fraser Ingram, who will take on the role on an interim basis until a replacement is found.

"Ms Crosbie brings a clear challenger mindset to TSB and she shares our vision for what a strong challenger bank can achieve for customers". At that point he will return to his previous position as non-executive chairman.

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Shortly after going public, TSB was acquired by Spanish lender Sabadell in 2015.

According to John Cronin, financial analyst at brokerage firm Goodbody, Ms Crosbie can help with the integration of TSB's new digital platform after the challenger bank extricated itself from its former owner Lloyds' platform.

However, the switch proved to be a disaster with many customers being locked out of their accounts and some customers being given access to the confidential records of others.

The debacle cost TSB £176m and the loss of thousands of customer accounts.

CYBG PLC (LON:CYBG) chief operating officer Debbie Crosbie is resigning to become chief executive of TSB, which suffered reputational damage after an IT meltdown earlier this year.

Crosbie, who is in her late 40s, will be paid a higher basic salary than predecessor Pester – who was on 913,500 pounds ($1.2 million) – and put on a "similar" bonus and incentive plan, Meddings said.

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