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21 June 2017 - Tesco Bank suffers online banking outage
Tesco Bank
Source - https://www.thesun.co.uk/money/3851779/tesco-bank-suffers-online-banking-meltdown-with-customers-locked-out-of-accounts/
Where - United Kingdom
Business line - Retail Banking

Tesco bank suffered a major IT outage on Wednesday morning, locking thousands of its customers out of their accounts.

A Tesco Bank spokesperson said: “We apologise to customers who couldn’t access online banking earlier today, service is now restored and service is back to usual.”

The issue occurred only one day after an IT glitch caused chaos in the supermarket’s online grocery shopping system which affected thousands of customer orders – many of which were cancelled at very short notice.

The bank said the delivery IT issue was unrelated to the banking outage as the two systems are completely separate.

Last November, cyber-criminals hacked into Tesco Bank’s system and stole £2.5m from 9,000 current accounts in one of the largest ever cyber attacks on a UK bank. Tesco was forced to suspend all online debit transactions, including contactless transactions in shops.

This week’s outages will do little to help customer and shareholder trust in the company’s IT competence and cyber security.

Tesco is facing a difficult time as it must implement major cost-cutting measures in order to keep up with discount grocers such as Aldi and Lidl. Group chief executive David Lewis, who joined the company in autumn 2014, has cut almost 5,000 head office and UK store management jobs as well as more than 4,000 overseas and in its banking division.