Customers of Lloyds TSB will be able to use mobile phones to manage their finances and transfer funds from one account to another from October.

The software, produced by mobile money network Monilink, has been available for some time but many providers have had concerns over the security of information.

Some banks already allow customers to check their balances over mobile phone but allowing them to transfer funds within the same bank is new development.

Customers will have to enter a six-digit security code to access their account, with a charge of £2.50 payable each month.

"Just as internet banking has taken the country by storm over the past decade, mobile banking is now set to change the way we manage our money," said Catherine McGrath, director of current accounts at Lloyds TSB.