30/04/2013

Lloyds Bank Reports £2bn Profit

Lloyds Banking Group has reported a profit for the first three months of the year.

The bank recorded a statutory pre-tax profit of £2.04bn in the first quarter of 2013, an increase from £280m for the same period the year before.

The latest figures come after a deal to sell more than 630 of its branches to the Co-Op collapsed las week. It added that it still plans to continue with the branch sale by selling them as a stand-alone bank through a stock market listing.

Underlying profits for the first quarter, which strip out certain one-off costs and gains, were £1.5bn and exclude costs related to the planned branch sale, as well as money set aside for possible Payment Protection Insurance (PPI) payouts.

Group chief executive Antonio Horta-Osorio said the bank, which is 39% taxpayer-owned, had made "substantial progress".

He added that profits had been driven by increased margins and a continued rapid fall in costs and impairments.

The group said costs fell 6% in the first three months of the year, adding that it expected annual costs to fall to just over £9bn for 2014.

(JP/CD)

Related UK National News Stories
Click here for the latest headlines.

06 August 2009
Accolade For 'Voluntary' Nursing Homes
On average, not-for-profit nursing homes deliver higher quality care than for-profit nursing homes. This is one of the findings in a new study published this week on the British Medical Journal's website, bmj.com.
03 May 2013
RBS 'Could Be Privatised' By Next Year
The chairman of the Royal Bank of Scotland (RBS) has said the bank will be set to return to the private sector next year. Sir Philip Hampton made the comment in a video statement on the bank's website after the institution reported a return to profit for the first three months of the year.
12 February 2013
Barclays Cut 3,700 Jobs
Some 3,700 jobs will be cut by Barclays in an effort to reduce costs by £1.7bn, following a strategic review. The announcement comes after the bank’s pre-tax profit fell from £5.9bn in 2011, to £248m last year. The profits fell dramatically after Barclays set aside money to compensate customer’s mis-sold products.
03 August 2010
Northern Rock Steadfast In Recovery
The boss of a once beleaguered UK bank is "encouraged" by news that nationalised Northern Rock's - a so-called 'bad bank' - has returned to profit following heavy losses last year in the wake of a bail-out by the taxpayer in 2008. Chief Executive Gary Hoffman said the Northern Rock 'AM' results were 'encouraging'.
05 May 2011
Bank Of England Maintains Bank Rate At 0.5%
The Bank of England’s Monetary Policy Committee today voted to maintain the official Bank Rate paid on commercial bank reserves at 0.5%. The Committee also voted to maintain the stock of asset purchases financed by the issuance of central bank reserves at £200 billion. The previous change in Bank Rate was a reduction of 0.5 percentage points to 0.