News story

Government reduces its stake in Lloyds Banking Group to below 25%

Government sells 7.8 per cent of shares in Lloyds Banking Group, at 75.5p per share.

This was published under the 2010 to 2015 Conservative and Liberal Democrat coalition government

The government has today (26 March 2014) sold another part of its shares in Lloyds Banking Group. It has sold 24 per cent of its remaining shares in the bank, at a price of 75.5p per share. This takes the government’s holding in the bank to less than a quarter.

The sale has secured further value for the taxpayer and will be used to pay down the national debt. It is part of the government’s long term economic plan to build a stronger and safer banking sector.

The Chancellor received advice from UK Financial Investments yesterday (25 March 2014) that it would be appropriate to sell part of the government’s shareholding in Lloyds. The Chancellor agreed with that advice and authorised the process to begin.

The government has now sold 36 per cent of its original stake in Lloyds, which now stands at 24.9 per cent.

Chancellor of the Exchequer, the Rt Hon George Osborne MP, said:

I can confirm this morning that we have sold a further £4.2 billion of shares in Lloyds Banking Group at 75.5p a share, taking the taxpayer’s stake down to below a quarter of the bank. This represents good value for the taxpayer and the money will again be used to reduce the national debt.

This is another step in the government’s long term economic plan to deliver a more secure and resilient economy. It is another step in repairing the banks, in reducing our national debt and in getting the taxpayer’s money back.

Published 26 March 2014