Company: LLOBF
Filing Date: 2025-07-24
Form Type: 6-K
Source: 0001160106-25-000034
Chunk: 44

Company: Lloyds Banking Group plc
Filing Date: 2025-07-24
Form: 6-K
Chunk 44
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 Rothesay Life plc, as a disposal

group.

At the Part VII transfer date, the Group derecognised the assets and liabilities of the disposal group, comprising

£ 4.9 billion of reinsurance contract assets, £ 5.1 billion of insurance contract liabilities, £ 50 million of goodwill and a

£ 9 million deferred tax asset. Following the derecognition requirements in IFRS 17 for transfers of contracts to a

third party, the Group recognised £ 179 million in insurance revenue, representing the release of CSM for future

service at the transfer date. The derecognition of the goodwill and deferred tax asset was charged to other

operating income. The overall pre-tax gain on derecognition of the disposal group was £ 120 million.

| Page 51 of74 |

| LLOYDS BANKING GROUP PLC | 2025HALF-YEAR RESULTS |

NOTES TO THE CONDENSED CONSOLIDATED HALF-YEAR FINANCIAL STATEMENTS (UNAUDITED) (continued) Note 6: Operating expenses

|                                                                                            | Half-yearto 30 Jun2025£m |     | Half-yearto 30 Jun2024£m |     | Half-yearto 31 Dec2024£m |
| Staff costs:                                                                               |                          |     |                          |     |                          |
| Salaries and social security costs                                                         |                    1,908 |     |                    1,914 |     |                    1,905 |
| Pensions and other post-retirement benefit schemes (note7)                                 |                      270 |     |                      276 |     |                      250 |
| Restructuring and other staff costs                                                        |                      294 |     |                      214 |     |                      113 |
|                                                                                            |                    2,472 |     |                    2,404 |     |                    2,268 |
| Premises and equipment costs1                                                              |                      260 |     |                      196 |     |                      258 |
| Depreciation and amortisation                                                              |                    1,748 |     |                    1,705 |     |                    1,721 |
| UK bank levy                                                                               |                        – |     |                        – |     |                      147 |
| Regulatory and legal provisions (note14)                                                   |                       37 |     |                       95 |     |                      804 |
| Other                                                                                      |                    1,228 |     |