Company: LLOBF
Filing Date: 2025-07-24
Form Type: 6-K
Source: 0001160106-25-000034
Chunk: 47

Company: Lloyds Banking Group plc
Filing Date: 2025-07-24
Form: 6-K
Chunk 47
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 of financial instruments have been classified into three levels according to the quality and reliability

of information used to determine those fair values. Note 17 to the Group’s financial statements for the year ended

31 December 2024 details the definitions of the three levels in the fair value hierarchy.

Financial instruments classified as financial assets at fair value through profit or loss, derivative financial

instruments, financial assets at fair value through other comprehensive income and financial liabilities at fair value

through profit or loss are recognised at fair value.

The Group manages valuation adjustments for its derivative exposures on a net basis; the Group determines their

fair values on the basis of their net exposures. In all other cases, fair values of financial assets and liabilities

measured at fair value are determined on the basis of their gross exposures.

The following tables provide an analysis of the financial assets and liabilities of the Group that are carried at fair

value in the Group’s consolidated balance sheet, grouped into levels 1 to 3 based on the degree to which the fair

value is observable. There were no significant transfers between level 1 and level 2 during the period.

| Financial assets                                                       | Level 1£m |     | Level 2£m |     | Level 3£m |     | Total£m |
| At 30 June2025                                                         |           |     |           |     |           |     |         |
| Financial assets at fair value through profit or loss:                 |           |     |           |     |           |     |         |
| Loans and advances to banks                                            |         – |     |     3,094 |     |         – |     |   3,094 |
| Loans and advances to customers                                        |         – |     |     3,193 |     |     5,905 |     |   9,098 |
| Reverse repurchase agreements                                          |         – |     |    20,655 |     |         – |     |  20,655 |
| Debt securities                                                        |    14,211 |     |    32,059 |     |     2,368 |     |  48,638 |
| Treasury and other bills                                               |         1 |     |         – |     |         – |     |       1 |
| Contracts held with reinsurers                                         |         – |     |     7,573 |     |         – |     |   7,573 |
| Equity shares                                                          |   131,