A sign hangs outside a Lloyds Bank branch in London, Britain, February 21, 2017. REUTERS/Toby Melville/File Photoimproved its performance outlook for 2023 after reporting a 23% increase in first-half profit, despite pressure on banks to offer greater benefits of rate rises to savers facing a cost-of-living squeeze.
Lloyds reported an improved interim ordinary dividend of 0.92 pence per share, up 15% on the prior year and equivalent to returning 594 million pounds to shareholders. Lenders have faced mounting pressure from politicians, regulators and consumer groups to pass on more interest to depositors following a long run of Bank of England rate rises, particularly as the cost of mortgages has risen at a much faster pace.
Lloyds CEO Charlie Nunn said that he recognised cost of living pressures were "proving challenging" for customers, but said the bank was proactively supporting customers and was offering higher savings rates.