Company: LLOBF
Filing Date: 2025-02-25
Form Type: 424B2
Source: 0000950103-25-002401
Chunk: 71

Company: Lloyds Banking Group plc
Filing Date: 2025-02-25
Form: 424B2
Chunk 71
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 “—Subject to certain conditions, including the Solvency Condition and regulatory approvals, LBG may redeem the Additional Tier 1 Securities at LBG’s option on certain dates.”

In addition, from time to time regulators propose
or consider legislation and rulemaking which may affect the Group’s business, the rights of holders of the Additional Tier 1 Securities
and the market value of the Additional Tier 1 Securities. Such changes in law may include changes in statutory, tax and regulatory regimes
during the life of the Additional Tier 1 Securities, or changes that could have a significant impact on the future legal entity structure,
business mix (including potential exit of certain business activities) and management of the Group, and use of capital and requirements
for loss-absorbing capacity within the Group, which may have an adverse effect on an investment in the Additional Tier 1 Securities.

In particular, any developments with respect to
the U.K.’s relationship with the EU may lead to significant changes to the laws applicable in the U.K. and may, among other developments,
increase the risk of a Capital Disqualification Event occurring or otherwise adversely affect the holders’ rights under the Additional
Tier 1 Securities. Such legislative and regulatory uncertainty could also affect investors’ ability to accurately value the Additional
Tier 1 Securities and, therefore, affect the trading price of the Additional Tier 1 Securities given the extent and impact on the Additional
Tier 1 Securities that one or more regulatory or legislative changes could have on the Additional Tier 1 Securities.

There is no established trading market for the
Additional Tier 1 Securities and one may not develop.

The Additional Tier 1 Securities will have no
established trading market when issued and, although admission to the Official List and trading on the Global Exchange Market of Euronext
Dublin is expected to begin after the initial delivery of the Additional Tier 1 Securities, a market may never develop. If a market does
develop, it may not be liquid. Therefore, investors may not be able to sell their Additional Tier 1 Securities easily or at prices that
will provide them with a yield comparable to similar investments that have a developed secondary market. This is particularly the case
for securities that are especially sensitive to interest rates, currency or market risks, are designed for specific investment objectives
and strategies, have been structured to meet the investment requirements of limited categories of investors or include features such as
the Automatic Conversion and U.K. Bail-in Power. These types of securities may have a more limited secondary market