TSB is offering payment holidays to borrowers who have been severely impacted by flooding.

The lender will allow customers to apply to delay payments for up to two months.

The decision follows a move by Natwest yesterday to allow flood victims to defer repayments for up to three months.

Both banks are also waiving penalties for customers who need early access to money tied up in savings accounts.

They are also offering increased limits on credit cards, overdrafts and cash withdrawals.

TSB customer banking director, Robin Bulloch says: “Our thoughts go out to those people who have been affected by the flooding across England and Wales. 

“At TSB, we understand that times like these can be extremely hard – emotionally, physically but also financially. 

“By offering support to our customers, we hope to help alleviate any concern they have with their financial commitments so that they can concentrate on more important issues at hand.

“We would urge any of our customers who have been affected by the flood events to contact us directly so that we can help them.”