Company: LLOBF
Filing Date: 2025-02-25
Form Type: 424B2
Source: 0000950103-25-002401
Chunk: 74

Company: Lloyds Banking Group plc
Filing Date: 2025-02-25
Form: 424B2
Chunk 74
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 or a deterioration in the capital markets’ perception of our financial resilience could significantly affect our access
to money markets, reduce the size of our deposit base and trigger additional collateral or other requirements in derivatives contracts
and other secured funding arrangements or the need to amend such arrangements, which could adversely affect our cost of funding and our
access to capital markets and could limit the range of counterparties willing to enter into transactions with us. This could in turn
adversely impact our competitive position and threaten our prospects in the short to medium-term. An improvement in our credit ratings
will not necessarily increase the value of the Additional Tier 1 Securities and will not reduce market risk and other investment risks
related to the Additional Tier 1 Securities. Credit ratings (i) do not address the price, if any, at which the Additional Tier 1 Securities
may be resold in the secondary market (which may be substantially less than the original offering price of the Additional Tier 1 Securities),
and (iii) are not recommendations to buy, sell or hold the Additional Tier 1 Securities.

<div align='center'>S-52</div>

Credit ratings may not reflect all risks.

One or more independent credit rating agencies
may assign credit ratings to the Additional Tier 1 Securities. The ratings may not reflect the potential impact of all risks related to
structure, market, Automatic Conversion, U.K. Bail-in Power, additional factors discussed above and other factors that may affect the
value of the Additional Tier 1 Securities. A credit rating is not a recommendation to buy, sell or hold securities and may be revised
or withdrawn by the Rating Agency at any time.

Holders may be obliged to make a take-over bid
following a Trigger Event if they take delivery of Settlement Shares.

Upon the occurrence of a Trigger Event, holders
receiving Settlement Shares from the Settlement Share Depository may have to make a take-over bid addressed to the shareholders of LBG
pursuant to the rules of The City Code on Takeovers and Mergers implementing the Takeovers Directive (2004/25/EC) by means of Part 28
of the United Kingdom Companies Act if their aggregate holdings in LBG exceed 30% of the voting rights in LBG as a result of the Automatic
Conversion of the Additional Tier 1 Securities into Settlement Shares.

Holders of the Additional Tier 1 Securities
may find it difficult to enforce civil liabilities against LBG or LBG’s directors or officers.

LBG is incorporated as a public limited