Abbey National joins the internet revolution

Abbey National has launched an online banking service - the last UK high-street bank to do so.

The company has invested £40m in the service, which it hopes will increase the number of current account holders by as much as twice the present total of two million.

Although the bank has been slow to jump on the internet bandwagon, it claims the delay has allowed it to offer an improved service.

Ambrose McGinn, director of ecommerce at Abbey National, said: "In the case of internet fraud, for instance, we guarantee to cover any losses incurred."

The bank also plans to launch cahoot.com, a separately branded ecommerce-based bank.