Here we take a closer look at the frequent flow of money between Lloyds, regulator and government.
| Money In | Money Out |
October 2008: Lloyds Banking Group and its subsidiary HBOS gets a £17bn lifeline from the government September 2009: Lloyds fails in its bid to escape the government’s asset protection scheme after it falls short of the then FSA’s capital requirements July 2012: The Bank of England and HM Treasury announce the launch of the Funding for Lending scheme, rolled out to inject liquidity into the banking sector until January 2014 August 2012:Lloyds offloads more than £3bn of assets in real estate and corporate loans, exceeding its target of shedding about £1.5bn a month until December 2014 as part of its aim to re-enter private hands March 2013:Lloyds sells approximately £400m worth of shares in St James’s Place with the promise that it will maintain its reduced stake in the wealth manager for at least one year April 2013: The Treasury and Bank of England announces it will extend the Funding for Lending scheme by a year, allowing it to continue until January 2015 May 2013: Lloyds puts a further £77m worth of shares in SJP up for sale November 2013: Lloyds Banking Group sells Scottish Widows Investment Partnership to fund manager Aberdeen Asset Management for £660m December 2013: Lloyds sells its remaining 21 per cent stake in St James’s Place, raising £680m | January 2009: Lloyds agrees to pay $350m (£231m) to the US government for helping customers circumvent American sanctions on dealing with Libya, Sudan and Iran. October 2010: An application for a judicial review is issued by the British Bankers’ Association, challenging the FSA’s new standards for handling PPI complaints handling May 2011: FSA fines Bank of Scotland £3.5m and orders it to pay £17.5m in compensation over poor complaints handling May 2011: Lloyds says it will not back the British Bankers Association’s appeal against the High Court’s decision on PPI complaints mis-selling. The BBA gave up on its legal challenge shortly afterwards, paying the way for redress that would eventually cost Lloyds £8bn March 2012: The FSA censures Bank of Scotland publicly over “very serious misconduct” in the run-up to the government’s bailout but stops short of a fine in order to save taxpayers’ money September 2012:FSA publishes a critical review into sales incentives at top UK banks February 2013: FSA fines Lloyds firms £4.3m for its tardy PPI compensation process June 2013: David Cameron supports calls, outlined in a 571 page report written by the Parliamentary Commission on Banking Standards, to jail “reckless” bankers August 2013:Lloyds agrees to provide redress, along with 13 other banks, for customers who were mis-sold card protection insurance and identity protection policies. The total compensation bill could be worth up to £1.3bn. December 2013:Lloyds receives the largest ever retail fine issued by the regulator, £28m fine, for its historic sales practices. |
