Lloyds Banking Group is reportedly considering options to shrink its office space as more employees switch to home working in the UK, the Sunday Times has reported.

In a memo sent to its staff, the bank told that it will be seeking to consolidate its presence to six strategic hubs across the UK.

Lloyds Bank people and property director Matt Sinnott said: “In the longer term we will be working to understand what the future of work and the office looks like, which will also help to inform our decisions.

“Due to changes to the way we work in a post-crisis environment, it was likely Lloyds would need fewer buildings and different types of spaces in future.

The move is in line with the lender’s strategy to adjust to new ways of working and focus more on flexible arrangements.

Sinnott added: “Our priority is the health, wellbeing and safety of our teams and we will be engaging with them on their preferred future working arrangements, while also building on our agile and flexible ways of working that we have been using for some time.

“This is a new situation for us, and we don’t have all the answers right now, but I hope that it will give us an opportunity to reset and improve the way we work for the future.”

PwC, the Big Four accountancy firm, reopened its offices last week accommodating only about 15% of its staff, the report added.

In 2017, Lloyds Bank already sold its Gresham Street offices to China’s Hengli Investments for £160m.

The bank has now agreed to a 20-year leaseback deal for the 119,742 square feet city base for consolidating its offices.

According to a report last month, Lloyds decided to suspend all job cuts until October this year.