Company: LLOBF
Filing Date: 2025-02-20
Form Type: 6-K
Source: 0001654954-25-001688
Chunk: 54

Company: Lloyds Banking Group plc
Filing Date: 2025-02-20
Form: 6-K
Chunk 54
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1.1 |  -1.0 | -0.2 |            -1.9 |     -1.2 |     -9.9 |
| UK Bank Rate - modelled             | 4.94 |  4.64 |  3.52 |  3.02 | 2.64 |            3.75 |     5.25 |     2.59 |
| UK Bank Rate - adjusted1            | 4.94 |  5.02 |  3.93 |  3.37 | 2.95 |            4.04 |     5.42 |     2.89 |
| CPI inflation - modelled            |  7.3 |   2.7 |   2.8 |   2.3 |  1.9 |             3.4 |     10.2 |      1.9 |
| CPI inflation - adjusted1           |  7.4 |   3.2 |   3.0 |   2.4 |  2.0 |             3.6 |     10.2 |      2.0 |

1 The adjustment to UK Bank Rate and CPI inflation in the severe downside is considered to better reflect the risks around the Group's base case view in an economic environment where supply shocks are the principal concern.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

4. Allowance for expected credit losses (continued)

Base case scenario by quarter

Gross domestic product growth is presented quarter-on-quarter. House price growth, commercial real estate price growth and CPI inflation are presented year-on-year, i.e. from the equivalent quarter in the previous year. Unemployment rate and UK Bank Rate are presented as at the end of each quarter.

| At 31 December 2024                 |   First 
 quarter 
    2024 
       % |  Second 
 quarter 
    2024 
       % |   Third 
 quarter 
    2024 
       % |  Fourth 
 quarter 
    2024 
       % |   First 
 quarter 
    2025 
       % |  Second 
 quarter 
    2025 
       % |   Third 
 quarter 
    2025 
       % |  Fourth 
 quarter 
    2025 
       % |
| Gross domestic product              |     0