The Royal Bank of Scotland has shifted its retail direct marketing business out of LIDA, which is understood to be moving to CHI & Partners.

According to reports, the account will be held as part of a joint venture between CHI & Partners and the agency Tag.

LIDA has already been told that it will lose the business to CHI, which now handles the lion’s share of the bank’s advertising.

RBS has already moved its £15m retail advertising account from M&C Saatchi to CHI, leaving M&C to handle above-the-line activity for NatWest, as well as work on the RBS Corporate account.

It is thought that M&C Saatchi will now hold onto its remaining business.

The consolidation is part of a major cost-cutting exercise by the financial group, which benefited from the £20bn government bail-out announced last October.

The Communications Agency, which handles corporate and business banking projects for RBS, is not believed to be losing any business and will continue to work with the group.