Xerox, which was the incumbent on the Lloyds account, beat Williams Lea, which held the HBOS contract, in a competitive tender for the combined print spend of the UK's largest retail bank.

The deal was heralded by the acquisition of HBOS by Lloyds at the height of the financial crisis in 2009, which industry insiders said would inevitably lead to a consolidation of the print contracts.

Details of the new contract, including duration and contract value, were not available at the time of writing.

Xerox has said it will work with Lloyds Banking Group to design, print and deliver high-quality, targeted marketing materials that are consistent across the bank's multiple brands, with much of the print being produced on demand to minimise the need to warehouse marketing inventory.

Xerox will also be responsible for overseeing the bank's document production process from start to finish and will aim to reduce costs by simplifying and speeding up the launch and production of key marketing campaigns.

Stephen Cronin, president of Xerox GDO, said: "Lloyds Banking Group takes its customer relationships - and its customer communications - as seriously as Xerox does.

"With this agreement, the bank joins a growing list of international companies that are turning to Xerox to help lead this important aspect of their businesses while uncovering savings in a place many companies fail to look: the document supply chain.

"Our collaboration with Lloyds Banking Group and this contract reflect a commitment from both parties to find new ways to drive real business value."

As Lloyds Banking Group's primary provider of design and printing services, Xerox said it would transform the bank's document supply chain, eliminate duplication in its business processes, and secure savings in cost and time.

Xerox will also handle the bank's requirements for delivering time-critical customer mailings, such as regulatory notices, as well as regular monthly mailings.