We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
RSS FeedChange Management

Lloyds to unveil restructuring plans next month


Part-nationalised bank to issue strategic review on June 30

Article comments

Lloyds is to unveil its plan for selling off assets and restructuring its business next month amid close scrutiny of its intentions from the Independent Commission on Banking (ICB).

The part-nationalised bank is obliged by regulatory insistence to sell 600 retail branches but might yet be required to dispose of more assets if the ICB turns a recently-made suggestion into a full reform recommendation.  

Lloyds’ new chief executive Antonio Horta-Osario has been working on what will likely be a wide-ranging review since he took up his post in March and is now set to outline his strategic intentions at the end of next month.

Lloyds has said the ICB’s recommendation of further sell offs could delay or complicate its existing programme, although the ICB, focussing on issues of competitiveness within the UK banking sector, is not due to make its final recommendations until September.

The sale of the 600 Lloyds branches, dubbed ‘Project Verde,’ could interest Virgin Money, the retailer Tesco's finance arm, the new bank venture NBNK and overseas lenders such as National Australia Bank, analysts say.

Lloyds was saddled with billions of pounds of losses after it bought troubled rival HBOS at the height of the credit crisis of 2008, a deal brokered by the Labour government of the time.

The government owns around 40.6 percent of Lloyds after its bailout of the bank during the financial crisis.

Meanwhile in Ireland, the recently nationalised Allied Irish Banks (AIB) is getting under way with wholesale changes to its operations, with a non-core unit be set up to dispose of unwanted assets. AIB’s overhaul included the appointment of Paul Stanley as interim CFO.

Share:

Recommended Articles

Comments

Lloyds to unveil restructuring plans next month
Change Management

Ocado: Online food is not our bread and butter

Ocado: Online food is not our bread and butter

ComputerworldUK meets Ocado CTO Paul Clarke to find out why the company believes it is a tech company, not a retailer, at heartmore ..


Big increase in UK online sales tracked by IMRG Capgemini

Estimated £8.1 billion spent onlinemore ..

BHP Billiton names CFO Graham Kerr boss of new demerger business

BHP Billiton announced plans to separate its main business to simplify the group and boost shareholder valuemore ..

Online retailers to benefit from superfast broadband

Government hopes that 95 percent of the population will have superfast broadband by 2017more ..

How new technologies are 'disrupting' shared services

A whole new model with less staff, more focus on intellectual capabilities and localised staffing is evolvingmore ..

Car industry’s greatest challenge is the shift to software

BMW’s outage illustrates the minefield manufacturers are navigating in light of the connected carmore ..

Send to a friend

Email this article to a friend or colleague:


PLEASE NOTE: Your name is used only to let the recipient know who sent the story, and in case of transmission error. Both your name and the recipient's name and address will not be used for any other purpose.



In Depth
Can finance rise to the challenge of major transformation?

Can finance rise to the challenge of major transformation?

Outdated finance processes, systems and competencies leave too many questions unanswered more ..

In Depth
Interim CFO or consultant? The pros and cons

Interim CFO or consultant? The pros and cons

Ed Harding offers an insight into the life of an interim CFO and the advantages in driving transformation more ..

Advertisement

* *