Why invest in Lloyds Banking Group?
Higher, more sustainable returns as we continue Helping Britain Prosper.
Lloyds Banking Group is the UK's largest digital bank.
How we create value, and what sets us apart
We have a number of distinct competitive strengths that collectively differentiate our proposition.
Read our annual report to find out more about our business model.
Purpose-driven strategy delivers for broader stakeholders
Building on our strong foundations and distinct competitive strengths, our purpose of Helping Britain Prosper forms the basis of our strategy to profitably deliver for all of our stakeholders.
Our purpose
Helping Britain Prosper
Our strategic vision
UK customer-focused digital leader and integrated financial services provider, capitalising on new opportunities, at scale.
Grow
Drive revenue growth and diversification.
Focus
Strengthen cost and capital efficiency.
Change
Maximise the potential of people, technology and data.
Higher, more sustainable, returns and capital generation
The Group has a progressive and sustainable ordinary dividend policy whilst maintaining the flexibility to return further surplus capital through buybacks or special dividends.
2025 full year financial results
"The Group demonstrated sustained strength in financial performance in 2025, including in the final quarter, with continued balance sheet and income growth, as well as strong cost discipline and credit performance. This enables total shareholder distributions of c.£3.9 billion for the year."
Charlie Nunn, Group Chief Executive
£18.30bn
Net income
(+7% YoY)
£9.76bn
Operating costs
(+3% YoY)
£4.76bn
Statutory profit after tax
(+6% YoY)
5% / 3%
Loan / deposit growth
(£22.0bn lending growth / £13.8 bn deposit growth)
12.9%
Return on tangible equity
(14.8% excl Q3 motor charge)
£3.9bn
Total capital return
(3.65p total dividend per share and £1.75bn buyback)
Confidence in delivering higher, more sustainable returns
2026 guidance
Based on our sustained strength in financial performance and our current macroeconomic assumptions, for 2026 the Group expects:
- Underlying net interest income of c.£14.9 billion
- Cost:income ratio of less than 50% (including operating costs of less than £9.9 billion)
- Asset quality ratio of c.25 basis points
- Return on tangible equity now of greater than 16%
- Capital generation of greater than 200 basis points
- To pay down to a CET1 ratio of c.13.0%
Who we are
We're a leading UK-based financial services group with over 325 years' history and a unique family of household brands. Our purpose at Lloyds Banking Group is Helping Britain Prosper.
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Sustainability
We have an important role to play in creating a more sustainable and inclusive future for people and businesses, by shaping finance as a force for good.
