"This win demonstrates that our offer of innovative systems, an enterprising approach and competitive pricing is attractive to customers," said TNT Mail managing director Nick Wells.

Lloyds TSB will use TNT's Premier 48-hour service, meaning that TNT will supply upstream services and Royal Mail will continue to handle "final mile" delivery and sorting.

Thanks to the latest win TNT expects to process at least 500m items in 2005.

Since the deregulation of the postal service, TNT's contract wins have included Sky, Caudwell Communications and Booker.