Company: LLOBF
Filing Date: 2025-05-01
Form Type: 6-K
Source: 0001160106-25-000018
Chunk: 4

Company: Lloyds Banking Group plc
Filing Date: 2025-05-01
Form: 6-K
Chunk 4
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, how it will take that forward. The FCA has also noted that its next steps on non-DCA complaints will be informed by the decision. The impairment charge was £ 310 million, up from £ 56 million in the three months to 31 March 2024 . Asset quality remained resilient in the quarter. The charge included strong portfolio performance in Retail, more than offset by a higher charge in Commercial Banking, partly due to the non-recurrence of a release from loss rates used in the model in 2024. The charge also included a £100 million central adjustment to address downside risks to the base case related to the potential impact from US tariff policies announced at the start of April. These were becoming apparent around the balance sheet date and were determined to not be fully captured within the modelled divisional ECL allowances. This is partially offset by benefits to the MES from small increases to house price and wage growth expectations.

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FINANCIAL REVIEW (continued) Balance sheet Total assets were £ 3,200 million higher at £ 909,897 million at 31 March 2025 (31 December 2024 : £ 906,697 million). Financial assets at amortised cost were £ 2,882 million higher at £ 534,659 million (31 December 2024 : £ 531,777 million) with increases in loans and advances to customers. This included growth of £ 4,807 million in UK mortgages and growth across UK Retail unsecured loans, credit cards, UK Motor Finance and the European retail business. Lending balances remained broadly stable in Commercial Banking, with growth in Institutional balances partly offset by repayments of government-backed lending. The growth in loans and advances to customers was partly offset by a £ 1,820 million reduction in reverse repurchase agreements, a £ 578 million reduction in loans and advances to banks and a £ 1,652 million reduction in debt securities. Cash and balances at central banks were stable at £ 62,891 million. Financial assets held at fair value through profit or loss decreased by £ 475 million, with reduced holdings in the Insurance business as a result of market losses on equity investments, partly offset by increased holdings in the banking business due to increased reverse repurchase agreements . Derivative financial assets were £ 3,355 million lower at £ 20,710 million (31 December 2024 : £ 24,065 million), driven by interest rate movements in the period. Financial assets at fair value through other