Member Article

Lloyds report £570m losses

Lloyds banking group posted losses of £570m for last year, in comparison with £3.5bn in 2011.

The 40% government owned bank said it incurred this significant loss as a result of Payment Protection Insurance (PPI) payouts, related to the mis-selling of insurance.

António Horta-Osório, the group’s chief executive, commented: “We have delivered a substantial transformation of Lloyds Banking Group in the first 18 months of delivery on our strategy, despite a challenging environment and the need to address legacy issues.

“We are now ahead of plan in creating a competitive advantage through a reduced risk premium and best-in-class efficiency.

“We are making significant investments in our simple, lower-risk, customer-focused UK retail and commercial banking model, thereby continuing to support our customers and helping Britain to prosper.

“We expect this to enable us to return to profitability and to grow our core business, to realise our full potential to deliver strong, stable and sustainable returns to shareholders, and to allow UK taxpayers’ investment in the Group to be repaid.”

This was posted in Bdaily's Members' News section by Miranda Dobson .