TSB 'up and running' after online meltdown, regulators turn to Spanish owners

TSB’s internet banking platform is back online on Wednesday after suffering a meltdown in the past few days that prevented users from logging into their accounts and allowed some to see other people’s banking information.

UK regulators announced they would open an investigation into the malfunction and requests answers from Spanish owner Banco Sabadell.

Catalan bank Sabadell, which spent £1.7bn buying TSB, installed a sophisticated online service (Proteo) when it took over the UK bank.

The online upgrade to Proteo was set to happen from Friday 20 April to Sunday 22 April but customers found on Monday that the platform was not working correctly.

The chair of the parliamentary Treasury Committee Nicky Morgan, wrote to the bank’s chief Paul Pester on Tuesday asking for an explanation for the breach and how does the firm expect to compensate the consumers affected.

The Financial Conduct Authority (FCA) also pledged to investigate TSB's problems on Tueday. A spokeswoman for the FCA confirmed that it had been in regular contact with the bank during the weekend and when the problems became patent.

On Wednesday, Paul Pester tweeted: "Our mobile banking app and online banking are now up and running. Thank you for your patience and for bearing with us."

Although the bank has reportedly limited the number of people who can access the platform for now since it expects a surge in consumers trying to use it.