Company: LLOBF
Filing Date: 2025-07-24
Form Type: 6-K
Source: 0001160106-25-000034
Chunk: 57

Company: Lloyds Banking Group plc
Filing Date: 2025-07-24
Form: 6-K
Chunk 57
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1.2 |   1.4 |                 1.0 |
| Unemployment rate                   |   4.3 |   5.0 |   5.5 |   5.4 |   5.3 |                 5.1 |
| House price growth                  |   3.4 |   1.8 |  -0.7 |  -1.0 |   0.4 |                 0.8 |
| Commercial real estate price growth |   0.7 |  -1.7 |   1.0 |   0.7 |  -1.1 |                -0.1 |
| UK Bank Rate – modelled             |  5.06 |  4.00 |  3.09 |  2.90 |  2.88 |                3.59 |
| UK Bank Rate – adjusted1            |  5.06 |  4.13 |  3.33 |  3.12 |  3.08 |                3.74 |
| CPI inflation – modelled            |   2.6 |   2.8 |   2.4 |   2.2 |   1.9 |                 2.4 |
| CPI inflation – adjusted1           |   2.6 |   2.9 |   2.4 |   2.3 |   2.0 |                 2.4 |

1 The adjustment to UK Bank Rate and CPI inflation in the severe downside is considered to better reflect the risks to the Group’s base case view in an economic environment where the risks of supply and demand shocks are seen as more balanced.

| Page 66 of74 |

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

NOTES TO THE CONDENSED CONSOLIDATED HALF-YEAR FINANCIAL STATEMENTS (UNAUDITED) (continued) Note 12: 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 30 June2025                      | Firstquarter2025% | Secondquarter202