The next chapter for Lloyds Banking Group
"I believe there are huge opportunities for the Group to do more and make the most of our competitive strengths."
Growing the business
Growth is a core focus of our strategy with nearly two-thirds of our £3 billion strategic investment aligned to growing and diversifying revenue.
We have carefully prioritised opportunities across each of our businesses to ensure we generate value in the near-term as well as creating new revenue streams which deliver over the longer-term:
- In the Consumer segment of our Retail and Insurance & Wealth businesses, we will bring more of our products and services to our existing customers, as well as innovating and broadening our product offerings and making it easier for customers to access them through our intermediary partners.
- In addition, we will create a new mass affluent offering to grow in this attractive and under-served market segment across banking, protection and investments.
- We will digitise and diversify our SME business, including growing revenues in areas where we have lower market shares today.
- And we will target disciplined growth of our corporate and institutional business.
Deepening relationships with customers
We are uniquely placed to be able to achieve these aims, and are starting from strong foundations and with distinct competitive strengths.
We are the largest bank and sole integrated provider of banking, insurance and wealth propositions in the UK.
Half of UK adults and around one million businesses turn to our trusted brands to meet their financial needs. They like engaging with us, as showcased by our record Net Promoter Scores.
Our customers’ one billion monthly transactions give us an unparalleled insight into their financial needs and behaviour, and we plan to use that data and technology to further meet our customers’ needs and support our business ambitions.
"We have 26 million consumer relationships and as the largest digital bank in the UK, our digitally active user base of 18.3 million is greater than all the neo-banks combined, and is 50% more than our closest rival."
To add to this, over the last decade, the Group has created an exceptionally strong balance sheet with disciplined risk management, creating a differentiated business model within UK financial services.
However, there is a unique opportunity for us to deepen the relationships with our existing customers – both with consumers and businesses of all sizes.
In our consumer franchise we can do this by making it easier for them to access our great products and services across banking, insurance and wealth, and by making our channels simpler and more personalised to use.
In addition, there is an opportunity to be faster than we have been historically, in modernising our technology and more effectively using data.
Whilst we have a digital leadership position today in consumer banking, for future competitiveness it is essential to achieve a step change in the speed and cost at which we create new propositions and deliver change.
Making a positive impact
We want to drive positive impact for our customers, for colleagues and for the communities we serve.
Given our scale and leading position, we are better placed than any other financial services business in the UK to make this a reality.
We will focus on building an inclusive society and supporting the transition to a low-carbon economy. This is where I believe we can make a difference and create new avenues for growth.