LLOYDS Banking Group, which owns Bank of Scotland, has called for first bids for the 632 branches it has put up for sale to be delivered by the end of today.

The taxpayer-backed bank aims to identify a preferred bidder as soon as possible. Lloyds chief executive Antonio Horta-Osorio last month pledged to speed up the process of selling the branches in a move to make his mark on the bank after taking the top post in March.

Lloyds has been required to sell the branches by the European Union in return for it receiving up to £20bn in state aid following the October 2008 bailout of the banking sector.

Virgin Money has expressed an interest in the branches and in Northern Rock, which the Government wants to sell.

It is thought that the owner of Clydesdale Bank, National Australia Bank, is considering making a bid for the branches that Lloyds is selling.

Fledgling group NBNK, led by former Northern Rock boss Gary Hoffman, and the Co-operative Group are also expected to bid for the branches.