Company: LLOBF
Filing Date: 2025-02-25
Form Type: 424B2
Source: 0000950103-25-002401
Chunk: 34

Company: Lloyds Banking Group plc
Filing Date: 2025-02-25
Form: 424B2
Chunk 34
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 payments (other than redemption payments) payable by LBG on such Interest Payment Date (x)
on the Additional Tier 1 Securities and (y) on or in respect of any Parity Securities or any Junior Securities, in the case of each of
(i) and (ii), excluding any payments already accounted for (by way of deduction) in determining the Distributable Items, or (b) if the
Solvency Condition is not satisfied in respect of such interest payment.

In addition, LBG shall not be permitted to pay
interest otherwise scheduled to be paid on an Interest Payment Date if and to the extent that the payment of such interest would cause,
when aggregated together with certain other distributions, any “maximum distributable amount” (if any) then applicable to
the Group under the Applicable Regulations to be exceeded. See also “—Interest payments on the Additional Tier 1 Securities shall not be made, in whole or in part, to the extent maximum distributable amounts restrictions apply” and “—There may be regulatory restrictions on distributions that will restrict LBG from making interest payments on the Additional Tier 1 Securities in certain circumstances, in which case LBG will cancel such interest payments”.

<div align='center'>S-32</div>

Although LBG may, in its sole discretion, elect
to make a partial interest payment on the Additional Tier 1 Securities on any Interest Payment Date, it may only do so to the extent that
such partial interest payment may be made without breaching the restrictions in the preceding paragraphs. It may be difficult to predict
in advance the likelihood of any maximum distributable amount restriction being triggered.

Any interest canceled or deemed canceled on any
relevant Interest Payment Date shall not be due and shall not accumulate or be payable at any time thereafter, and holders of the Additional
Tier 1 Securities shall have no rights thereto or to receive any additional interest or compensation as a result of such deemed cancellation
and shall have no rights to accelerate the principal of the Additional Tier 1 Securities as a result of such interest cancellation. Furthermore,
no cancellation of interest in accordance with the terms of the Indenture shall constitute a default in payment or otherwise under the
terms of the Additional Tier 1 Securities.

As a holding company, the level of Distributable
Items is affected by a number of factors, and insufficient Distributable Items may restrict LBG’s ability to make interest payments
on the Additional Tier 1 Securities.

As a holding company, the level of LBG’s
Distributable