Document:

Exhibit 4.1

 

_______________________________________

 

LLOYDS BANKING
GROUP PLC

 

as Issuer,

 

THE BANK OF
NEW YORK MELLON,

acting through its London Branch

 

as Trustee

 

and

 

THE
BANK OF NEW YORK MELLON SA/NV, DUBLIN BRANCH,

 

as
Senior Debt Security Registrar

 

_______________________________________

 

FIFTEENTH SUPPLEMENTAL
INDENTURE

 

dated as of August
11, 2022

 

to

 

THE SENIOR
DEBT SECURITIES INDENTURE

 

dated as of July
6, 2010

 

_______________________________________

 

     

     

    

FIFTEENTH SUPPLEMENTAL
INDENTURE (“Fifteenth Supplemental Indenture”), dated as of August 11, 2022, between LLOYDS BANKING GROUP PLC, a corporation
incorporated in Scotland with registered number 95000, as issuer (the “Company”), THE BANK OF NEW YORK MELLON, acting
through its London Branch, as trustee (the “Trustee”) and THE BANK OF NEW YORK MELLON SA/NV, DUBLIN BRANCH, as senior
debt security registrar (the “Senior Debt Security Registrar”).

 

WITNESSETH

 

WHEREAS,
the Company and the Trustee have executed and delivered a Senior Debt Securities Indenture dated as of July 6, 2010, as amended by the
First Supplemental Indenture dated as of July 6, 2016 (the “Senior Indenture,” and together with this Fifteenth Supplemental
Indenture, the “Indenture”) to provide for the issuance of the Company’s Senior Debt Securities, including the
Securities (as defined below).

 

WHEREAS,
Section 9.01(d) of the Senior Indenture permits the Company and the Trustee to add to, change or eliminate any provisions of the Senior
Indenture without the consent of Holders as permitted under Sections 2.01 and 3.01 of the Senior Indenture, subject to certain conditions;

 

WHEREAS,
Section 9.01(f) of the Senior Indenture permits the Company and the Trustee to enter into a supplemental indenture to establish the forms
or terms of Senior Debt Securities of any series as permitted under Sections 2.01 and 3.01 of the Senior Indenture without the consent
of Holders;

 

WHEREAS,
there are no debt securities Outstanding of any series created prior to the execution of this Fifteenth Supplemental Indenture which
are entitled to the benefit of the provisions set forth herein or would be adversely affected by such provisions;

 

WHEREAS,
the Board of Directors has authorized the entry into this Fifteenth Supplemental Indenture, as required by Section 9.01 of the Senior
Indenture;

 

WHEREAS,
the parties hereto desire to establish, as further series of Senior Debt Securities under the Senior Indenture, $1,250,000,000 4.716%
Senior Callable Fixed-to-Fixed Rate Notes due 2026 (the “2026 Senior Notes”) and $1,250,000,000 4.976% Senior Callable
Fixed-to-Fixed Rate Notes due 2033 (the “2033 Senior Notes” and, together with the 2026 Senior Notes, the “Securities”)
pursuant to Sections 2.01 and 3.01 of the Senior Indenture. The Securities may be issued from time to time and any Securities issued
as part of any series will constitute a single series of Securities under the Indenture and shall be included in the definition of “Securities”
where the context requires;

 

WHEREAS,
the Company has requested that the Trustee execute and deliver this Fifteenth Supplemental Indenture and whereas all actions required
by it to be taken in order to make this Fifteenth Supplemental Indenture a valid, binding and enforceable instrument in accordance with
its terms, have been taken and performed, and the execution and delivery of this Fifteenth Supplemental Indenture has been duly authorized
in all respects; and

 

     

     

    

WHEREAS,
where indicated, this Fifteenth Supplemental Indenture shall amend and supplement the Senior Indenture; to the extent that the terms
of the Senior Indenture are inconsistent with such provisions of this Fifteenth Supplemental Indenture, the terms of this Fifteenth Supplemental
Indenture shall govern.

 

NOW,
THEREFORE, the Company and the Trustee mutually covenant and agree as follows:

 

Article
1

DEFINITIONS

 

Section
1.01.     Definition of Terms. For all purposes of
this Fifteenth Supplemental Indenture:

 

(a)           
a term defined anywhere in this Fifteenth Supplemental Indenture has the same meaning throughout;

 

(b)           
capitalized terms used herein but not otherwise defined shall have the meanings assigned to them in the Senior Indenture;

 

(c)           
the singular includes the plural and vice versa;

 

(d)           
headings are for convenience of reference only and do not affect interpretation; and

 

(e)           
for the purposes of this Fifteenth Supplemental Indenture and the Senior Indenture, the term “series” shall mean a
series of Securities.

 

Article
2

FORM OF SECURITIES

 

Section
2.01.     Terms of the 2026 Senior Notes.

 

(a)           
The title of the 2026 Senior Notes shall be the “4.716% Senior Callable Fixed-to-Fixed Rate Notes due 2026”;

 

(b)           
The aggregate principal amount of the 2026 Senior Notes that may be authenticated and delivered under the Indenture shall not
exceed $1,250,000,000, except as otherwise provided in the Indenture;

 

(c)           
Principal on the 2026 Senior Notes shall be payable on August 11, 2026 (the “Maturity Date”);

 

(d)           
The 2026 Senior Notes shall be issued in global registered form on August 11, 2022 (the “Issue Date”).

 

During
the period from, and including, the Issue Date to, but excluding August 11, 2025 (the “Initial Fixed Rate Period”),
interest shall accrue from the Issue Date at a fixed rate of 4.716% per annum. Interest accrued during the Initial Fixed Rate Period
shall be payable semi-annually in arrears on February 11 and August 11 of each year (each, a “Fixed Rate Interest Payment Date”),
commencing on February 11, 2023.

 

    3 

     

    

During
the period from, and including, August 11, 2025 (the
“Reset Date”) to, but excluding, August 11, 2026 (the “Reset Fixed Rate
Period”), interest shall accrue at a fixed annual rate equal to the applicable U.S. Treasury Rate (as defined below) as determined
by the Calculation Agent (as defined below) on the Reset Determination Date (as defined below), plus 1.750%. Interest accrued during
the Reset Fixed Rate Period shall be payable semi-annually in arrears on February 11, 2026
and August 11, 2026 (each, a “Reset Rate Interest Payment Date”,
and together with the Fixed Rate Interest Payment Dates, the “Interest Payment Dates”).

 

The
Regular Record Dates for the 2026 Senior Notes shall be 15 calendar days immediately preceding the relevant Interest Payment Date, whether
or not a Business Day. If the scheduled Maturity Date or date of redemption or repayment is not a Business Day, the Company may pay interest
and principal on the next succeeding Business Day, but interest on that payment shall not accrue during the period from and after the
scheduled Maturity Date or date of redemption or repayment.

 

Interest
during the Initial Fixed Rate Period shall be calculated on the basis of a 360-day year divided into twelve months of 30 days each and,
in the case of an incomplete month, on the basis of the actual number of days elapsed in such period. If any scheduled Fixed Rate Interest
Payment Date is not a Business Day, the Company shall pay interest on the next Business Day, but interest on that payment shall not accrue
during the period from and after such scheduled Fixed Rate Interest Payment Date.

 

Interest
during the Reset Fixed Rate Period shall be calculated on the basis of a 360-day year consisting of twelve 30-day months and, in the
case of an incomplete month, on the basis of the actual number of days elapsed in such period. The interest rate during the Reset Fixed
Rate Period will be reset on the Reset Determination Date. If any scheduled Reset Rate Interest Payment Date is not a Business Day, interest
will be paid on the next Business Day, but interest on that payment will not accrue during the period from and after such scheduled Reset
Rate Interest Payment Date.

 

“Bail-in
Legislation” means in relation to a Member State of the European Economic Area which has implemented, or which at any time
implements, the BRRD, the relevant implementing law, regulation, rule or requirement as described in the EU Bail-in Legislation Schedule
from time to time.

 

“Bail-in
Powers” means any Write-down and Conversion Powers as defined in relation to the relevant Bail-in Legislation.

 

“BRRD”
means Directive 2014/59/EU (as amended or superseded) establishing a framework for the recovery and resolution of credit institutions
and investment firms.

 

    4 

     

    

“BRRD Liability”
has the same meaning as in such laws, regulations, rules or requirements implementing the BRRD under the applicable Bail-in Legislation.

 

“BRRD Party”
means the Senior Debt Security Registrar.

 

“EU
Bail-in Legislation Schedule” means the document described as such, then in effect, and published by the Loan Market Association
(or any successor person) from time to time at http://www.lma.eu.com/.

 

“Relevant
Resolution Authority” means the resolution authority with the ability to exercise any Bail-in Powers in relation to the relevant
BRRD Party.

 

The
U.S. Treasury Rate shall be determined by The Bank of New York Mellon, London Branch as calculation agent.

 

“U.S.
Treasury Rate” means, with respect to the Reset Date, the rate per annum equal to: (1) the yield on actively traded U.S. Treasury
securities adjusted to constant maturity for one-year maturities on the Reset Determination Date and appearing under the caption “Treasury
constant maturities” on the Reset Determination Date in the applicable most recently published statistical release designated “H.15
Daily Update”, or any successor publication that is published by the Board of Governors of the Federal Reserve System that establishes
yields on actively traded U.S. Treasury securities adjusted to constant maturity, under the caption “Treasury Constant Maturities”,
for the maturity of one year; or (2) if such release (or any successor release) is not published on the Reset Determination Date or does
not contain such yields, the rate per annum equal to the semi-annual equivalent yield to maturity of the Comparable Treasury Issue, calculated
using a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury
Price for the Reset Date.

 

If
the U.S. Treasury Rate cannot be determined, for whatever reason, as described under (1) or (2) above, “U.S. Treasury Rate”
means the rate in percentage per annum as notified by the Calculation Agent to the Company equal to the yield on U.S. Treasury securities
having a maturity of one year as set forth in the most recently published statistical release designated “H.15 Daily Update”
under the caption “Treasury constant maturities” (or any successor publication that is published weekly by the Board of Governors
of the Federal Reserve System and that establishes yields on actively traded U.S. Treasury securities adjusted to constant maturity under
the caption “Treasury constant maturities” for the maturity of one year) on the Reset Determination Date.

 

“Comparable
Treasury Issue” means, with respect to the Reset Fixed Rate Period, the U.S. Treasury security or securities selected by the
Company with a maturity date on or about the last day of the Reset Fixed Rate Period and that would be utilized, at the time of selection
and in accordance with customary financial practice, in pricing new issues of corporate debt securities denominated in U.S. dollars and
having a maturity of one year.

 

“Comparable
Treasury Price” means, with respect to the Reset Date, (i) the arithmetic average of the Reference Treasury Dealer Quotations
for the Reset Date (calculated on the Reset Determination Date preceding the Reset Date), after excluding the highest and lowest such
Reference Treasury Dealer Quotations, or (ii) if fewer than five such Reference Treasury Dealer Quotations are received by the Company,
the arithmetic average of all such quotations, or (iii) if fewer than two such Reference Treasury Dealer Quotations are received by the
Company, then such Reference Treasury Dealer Quotations as quoted in writing to the Company by a Reference Treasury Dealer.

 

    5 

     

    

“Reference
Treasury Dealer” means each of up to five banks selected by the Company, or if the affiliates of such banks, which are (i)
primary U.S. Treasury securities dealers, and their respective successors, or (ii) market makers in pricing corporate bond issues denominated
in U.S. dollars.

 

“Reference
Treasury Dealer Quotations” means with respect to each Reference Treasury Dealer and the Reset Date, the arithmetic average,
as determined by the Calculation Agent, of the bid and offered prices for the applicable Comparable Treasury Issue, expressed in each
case as a percentage of its principal amount, at 11:00 a.m. (New York City time), on the Reset Determination Date.

 

“Reset
Determination Date” means the second Business Day immediately preceding the Reset Date.

 

All
calculations of the Calculation Agent, in the absence of manifest error, shall be conclusive for all purposes and binding on the Company,
the Trustee, the Paying Agent and on the Holders of the Securities.

 

All
percentages resulting from any of the above calculations shall be rounded, if necessary, to the nearest one hundred thousandth of a percentage
point, with five one-millionths of a percentage point rounded upwards (e.g., 9.876545% (or .09876545) being rounded to 9.87655% (or .0987655))
and all dollar amounts used in or resulting from such calculations shall be rounded to the nearest cent (with one-half cent being rounded
upwards).

 

The
interest rate on the 2026 Senior Notes during the Reset Fixed Rate Period will in no event be higher than the maximum rate permitted
by law or lower than 0% per annum.

 

By
its acquisition of 2026 Senior Notes or an interest therein, each Holder and beneficial owner of 2026 Senior Notes and each subsequent
holder and beneficial owner waives any and all claims in law and/or equity against the Trustee, the Calculation Agent or any paying agent
for, agrees not to initiate a suit against the Trustee, the Calculation Agent and any paying agent in respect of, and agrees that none
of the Trustee, the Calculation Agent or any paying agent will be liable for, any action that the Trustee, the Calculation Agent or any
paying agent, as the case may be, takes, or abstains from taking, in each case in accordance with this section or any losses suffered
in connection therewith.

 

For
the avoidance of doubt, the Trustee shall have the rights set forth in Section 9.03 of the Senior Indenture with respect to any amendment
or alteration of the terms and conditions of the 2026 Senior Notes and the Indenture.

 

    6 

     

    

(e)           
No premium, upon redemption or otherwise, shall be payable by the Company on the 2026 Senior Notes;

 

(f)            
Principal of and any interest on the 2026 Senior Notes shall be paid to the Holder through The Bank of New York Mellon, acting
through its London Branch, as Paying Agent of the Company;

 

(g)           
Subject to Section 11.11 and on at least 5 Business Days but no more than 30 Business Days’ prior written notice delivered
to the Holders of the 2026 Senior Notes, the Company may, in its sole discretion, (but subject to, if and to the extent then required
by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator
granting the Company permission), redeem, the 2026 Senior Notes, in whole, but not in part, on August 11, 2025 at a redemption price
equal to 100% of the principal amount of the 2026 Senior Notes being redeemed plus any accrued and unpaid interest thereon, if
any, to, but excluding, the date of redemption, as provided in the Senior Indenture;

 

(h)           
The 2026 Senior Notes are redeemable pursuant to Section 11.08 of the Senior Indenture. In connection with any redemption of the
2026 Senior Notes pursuant to Section 11.08 of the Senior Indenture, the date referenced therein shall be August 11, 2022;

 

(i)            
The Company shall have no obligation to redeem or purchase the 2026 Senior Notes pursuant to any sinking fund or analogous provision;

 

(j)            
The 2026 Senior Notes shall be issued only in denominations of $200,000 and in integral multiples of $1,000 in excess thereof;

 

(k)           
The principal amount of the 2026 Senior Notes shall be payable upon the declaration of acceleration thereof pursuant to Section
5.02 of the Senior Indenture, as amended by this Fifteenth Supplemental Indenture;

 

(l)            
The 2026 Senior Notes shall not be converted into or exchanged at the option of the Company or otherwise for stock or other securities
of the Company;

 

(m)            
The 2026 Senior Notes shall be denominated in, and payments thereon shall be made in, U.S. Dollars;

 

(n)           
The payment of principal of (and premium, if any) or interest, if any, on the 2026 Senior Notes shall be payable only in the coin
or currency in which the 2026 Senior Notes are denominated;

 

(o)           
The 2026 Senior Notes shall be issued in the form of one or more global securities in registered form, without coupons attached,
and the initial Holder with respect to each such global security shall be Cede & Co., as nominee of The Depository Trust Company;

 

(p)           
The 2026 Senior Notes shall not be initially issued in definitive form;

 

    7 

     

    

(q)           
The calculation agent (the “Calculation Agent”) for the 2026 Senior Notes shall be The Bank of New York Mellon,
London Branch pursuant to the terms of a Calculation Agency Agreement dated as of August 11, 2022;

 

(r)            
The Events of Default on the 2026 Senior Notes are as provided for in Section 5.01 of the Senior Indenture, as amended by this
Fifteenth Supplemental Indenture;

 

(s)           
The form of the 2026 Senior Notes to be issued on the date hereof shall be substantially in the form of Exhibit A hereto;

 

(t)            
The Company may issue additional 2026 Senior Notes (“Additional 2026 Senior Notes”) after the date hereof having
the same ranking and same interest rate, maturity date, redemption terms and other terms as the 2026 Senior Notes except for the price
to the public, issue date and first interest payment date, provided that such Additional 2026 Senior Notes must be fungible with the
outstanding 2026 Senior Notes for U.S. federal income tax purposes. Any such Additional 2026 Senior Notes, together with the 2026 Senior
Notes shall constitute a single series of securities under the Indenture;

 

(u)           
Additional Amounts in respect of the 2026 Senior Notes shall be payable as set forth in the Senior Indenture, as amended by this
Fifteenth Supplemental Indenture.

 

Section
2.02.       Terms of the 2033 Senior Notes.

 

(a)           
The title of the 2033 Senior Notes shall be the “4.976% Senior Callable Fixed-to-Fixed Rate Notes due 2033”;

 

(b)           
The aggregate principal amount of the 2033 Senior Notes that may be authenticated and delivered under the Indenture shall not
exceed $1,250,000,000, except as otherwise provided in the Indenture;

 

(c)           
Principal on the 2033 Senior Notes shall be payable on August 11, 2033 (the “Maturity Date”);

 

(d)           
The 2033 Senior Notes shall be issued in global registered form on August 11, 2022 (the “Issue Date”).

 

During
the period from, and including, the Issue Date to, but excluding August 11, 2032 (the “Initial Fixed Rate Period”),
interest shall accrue from the Issue Date at a fixed rate of 4.976% per annum. Interest accrued during the Initial Fixed Rate Period
shall be payable semi-annually in arrears on February 11 and August 11 of each year (each, a “Fixed Rate Interest Payment Date”),
commencing on February 11, 2023.

 

During
the period from, and including, August 11, 2032 (the “Reset Date”) to, but excluding, August
11, 2033 (the “Reset Fixed Rate Period”), interest shall accrue at a fixed annual rate
equal to the applicable U.S. Treasury Rate (as defined below) as determined by the Calculation Agent (as defined below) on the Reset
Determination Date (as defined below), plus 2.300%. Interest accrued during the Reset Fixed Rate Period shall be payable semi-annually
in arrears on February 11, 2033 and August 11, 2033 (each, a
“Reset Rate Interest Payment Date”, and together with the Fixed Rate Interest Payment Dates, the “Interest
Payment Dates”).

 

    8 

     

    

The
Regular Record Dates for the 2033 Senior Notes shall be 15 calendar days immediately preceding the relevant Interest Payment Date, whether
or not a Business Day. If the scheduled Maturity Date or date of redemption or repayment is not a Business Day, the Company may pay interest
and principal on the next succeeding Business Day, but interest on that payment shall not accrue during the period from and after the
scheduled Maturity Date or date of redemption or repayment.

 

Interest
during the Initial Fixed Rate Period shall be calculated on the basis of a 360-day year divided into twelve months of 30 days each and,
in the case of an incomplete month, on the basis of the actual number of days elapsed in such period. If any scheduled Fixed Rate Interest
Payment Date is not a Business Day, the Company shall pay interest on the next Business Day, but interest on that payment shall not accrue
during the period from and after such scheduled Fixed Rate Interest Payment Date.

 

Interest
during the Reset Fixed Rate Period shall be calculated on the basis of a 360-day year consisting of twelve 30-day months and, in the
case of an incomplete month, on the basis of the actual number of days elapsed in such period. The interest rate during the Reset Fixed
Rate Period will be reset on the Reset Determination Date. If any scheduled Reset Rate Interest Payment Date is not a Business Day, interest
will be paid on the next Business Day, but interest on that payment will not accrue during the period from and after such scheduled Reset
Rate Interest Payment Date.

 

“Bail-in
Legislation” means in relation to a Member State of the European Economic Area which has implemented, or which at any time
implements, the BRRD, the relevant implementing law, regulation, rule or requirement as described in the EU Bail-in Legislation Schedule
from time to time.

 

“Bail-in
Powers” means any Write-down and Conversion Powers as defined in relation to the relevant Bail-in Legislation.

 

“BRRD”
means Directive 2014/59/EU (as amended or superseded) establishing a framework for the recovery and resolution of credit institutions
and investment firms.

 

“BRRD Liability”
has the same meaning as in such laws, regulations, rules or requirements implementing the BRRD under the applicable Bail-in Legislation.

 

“BRRD Party”
means the Senior Debt Security Registrar.

 

“EU
Bail-in Legislation Schedule” means the document described as such, then in effect, and published by the Loan Market Association
(or any successor person) from time to time at http://www.lma.eu.com/.

 

“Relevant
Resolution Authority” means the resolution authority with the ability to exercise any Bail-in Powers in relation to the relevant
BRRD Party.

 

    9 

     

    

The
U.S. Treasury Rate shall be determined by The Bank of New York Mellon, London Branch as calculation agent.

 

“U.S.
Treasury Rate” means, with respect to the Reset Date, the rate per annum equal to: (1) the yield on actively traded U.S. Treasury
securities adjusted to constant maturity for one-year maturities on the Reset Determination Date and appearing under the caption “Treasury
constant maturities” on the Reset Determination Date in the applicable most recently published statistical release designated “H.15
Daily Update”, or any successor publication that is published by the Board of Governors of the Federal Reserve System that establishes
yields on actively traded U.S. Treasury securities adjusted to constant maturity, under the caption “Treasury Constant Maturities”,
for the maturity of one year; or (2) if such release (or any successor release) is not published on the Reset Determination Date or does
not contain such yields, the rate per annum equal to the semi-annual equivalent yield to maturity of the Comparable Treasury Issue, calculated
using a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury
Price for the Reset Date.

 

If
the U.S. Treasury Rate cannot be determined, for whatever reason, as described under (1) or (2) above, “U.S. Treasury Rate”
means the rate in percentage per annum as notified by the Calculation Agent to the Company equal to the yield on U.S. Treasury securities
having a maturity of one year as set forth in the most recently published statistical release designated “H.15 Daily Update”
under the caption “Treasury constant maturities” (or any successor publication that is published weekly by the Board of Governors
of the Federal Reserve System and that establishes yields on actively traded U.S. Treasury securities adjusted to constant maturity under
the caption “Treasury constant maturities” for the maturity of one year) on the Reset Determination Date.

 

“Comparable
Treasury Issue” means, with respect to the Reset Fixed Rate Period, the U.S. Treasury security or securities selected by the
Company with a maturity date on or about the last day of the Reset Fixed Rate Period and that would be utilized, at the time of selection
and in accordance with customary financial practice, in pricing new issues of corporate debt securities denominated in U.S. dollars and
having a maturity of one year.

 

“Comparable
Treasury Price” means, with respect to the Reset Date, (i) the arithmetic average of the Reference Treasury Dealer Quotations
for the Reset Date (calculated on the Reset Determination Date preceding the Reset Date), after excluding the highest and lowest such
Reference Treasury Dealer Quotations, or (ii) if fewer than five such Reference Treasury Dealer Quotations are received by the Company,
the arithmetic average of all such quotations, or (iii) if fewer than two such Reference Treasury Dealer Quotations are received by the
Company, then such Reference Treasury Dealer Quotations as quoted in writing to the Company by a Reference Treasury Dealer.

 

“Reference
Treasury Dealer” means each of up to five banks selected by the Company, or if the affiliates of such banks, which are (i)
primary U.S. Treasury securities dealers, and their respective successors, or (ii) market makers in pricing corporate bond issues denominated
in U.S. dollars.

 

    10 

     

    

“Reference
Treasury Dealer Quotations” means with respect to each Reference Treasury Dealer and the Reset Date, the arithmetic average,
as determined by the Calculation Agent, of the bid and offered prices for the applicable Comparable Treasury Issue, expressed in each
case as a percentage of its principal amount, at 11:00 a.m. (New York City time), on the Reset Determination Date.

 

“Reset
Determination Date” means the second Business Day immediately preceding the Reset Date.

 

All
calculations of the Calculation Agent, in the absence of manifest error, shall be conclusive for all purposes and binding on the Company,
the Trustee, the Paying Agent and on the Holders of the 2033 Senior Notes.

 

All
percentages resulting from any of the above calculations shall be rounded, if necessary, to the nearest one hundred thousandth of a percentage
point, with five one-millionths of a percentage point rounded upwards (e.g., 9.876545% (or .09876545) being rounded to 9.87655% (or .0987655))
and all dollar amounts used in or resulting from such calculations shall be rounded to the nearest cent (with one-half cent being rounded
upwards).

 

The
interest rate on the 2033 Senior Notes during the Reset Fixed Rate Period will in no event be higher than the maximum rate permitted
by law or lower than 0% per annum;

 

By
its acquisition of 2033 Senior Notes or an interest therein, each Holder and beneficial owner of 2033 Senior Notes and each subsequent
holder and beneficial owner waives any and all claims in law and/or equity against the Trustee, the Calculation Agent or any paying agent
for, agrees not to initiate a suit against the Trustee, the Calculation Agent and any paying agent in respect of, and agrees that none
of the Trustee, the Calculation Agent or any paying agent will be liable for, any action that the Trustee, the Calculation Agent or any
paying agent, as the case may be, takes, or abstains from taking, in each case in accordance with this section or any losses suffered
in connection therewith.

 

For
the avoidance of doubt, the Trustee shall have the rights set forth in Section 9.03 of the Senior Indenture with respect to any amendment
or alteration of the terms and conditions of the 2033 Senior Notes and the Indenture.

 

(e)           
No premium, upon redemption or otherwise, shall be payable by the Company on the 2033 Senior Notes;

 

(f)            
Principal of and any interest on the 2033 Senior Notes shall be paid to the Holder through The Bank of New York Mellon, acting
through its London Branch, as Paying Agent of the Company;

 

(g)           
Subject to Section 11.11 and on at least 5 Business Days but no more than 30 Business Days’ prior written notice delivered
to the Holders of the 2033 Senior Notes, the Company may, in its sole discretion (but subject to, if and to the extent then required
by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator
granting the Company permission), redeem the 2033 Senior Notes, in whole, but not in part, on August 11, 2032 at a redemption price equal
to 100% of the principal amount of the 2033 Senior Notes being redeemed plus any accrued and unpaid interest thereon, if any,
to, but excluding, the date of redemption, as provided in the Senior Indenture;

 

    11 

     

    

(h)           
The 2033 Senior Notes are redeemable pursuant to Section 11.08 of the Senior Indenture. In connection with any redemption of the
2033 Senior Notes pursuant to Section 11.08 of the Senior Indenture, the date referenced therein shall be August 11, 2022;

 

(i)            
The Company shall have no obligation to redeem or purchase the 2033 Senior Notes pursuant to any sinking fund or analogous provision;

 

(j)            
The 2033 Senior Notes shall be issued only in denominations of $200,000 and in integral multiples of $1,000 in excess thereof;

 

(k)           
The principal amount of the 2033 Senior Notes shall be payable upon the declaration of acceleration thereof pursuant to Section
5.02 of the Senior Indenture, as amended by this Fifteenth Supplemental Indenture;

 

(l)            
The 2033 Senior Notes shall not be converted into or exchanged at the option of the Company or otherwise for stock or other securities
of the Company;

 

(m)            
The 2033 Senior Notes shall be denominated in, and payments thereon shall be made in, U.S. Dollars;

 

(n)           
The payment of principal of (and premium, if any) or interest, if any, on the 2033 Senior Notes shall be payable only in the coin
or currency in which the 2033 Senior Notes are denominated;

 

(o)           
The 2033 Senior Notes shall be issued in the form of one or more global securities in registered form, without coupons attached,
and the initial Holder with respect to each such global security shall be Cede & Co., as nominee of The Depository Trust Company;

 

(p)           
The 2033 Senior Notes shall not be initially issued in definitive form;

 

(q)           
The calculation agent (the “Calculation Agent”) for the 2033 Senior Notes shall be The Bank of New York Mellon,
London Branch pursuant to the terms of a Calculation Agency Agreement dated as of August 11, 2022;

 

(r)            
The Events of Default on the 2033 Senior Notes are as provided for in Section 5.01 of the Senior Indenture, as amended by this
Fifteenth Supplemental Indenture;

 

(s)           
The form of the 2033 Senior Notes to be issued on the date hereof shall be substantially in the form of Exhibit B hereto;

 

    12 

     

    

(t)            
The Company may issue additional 2033 Senior Notes (“Additional 2033 Senior Notes”) after the date hereof having
the same ranking and same interest rate, maturity date, redemption terms and other terms as the 2033 Senior Notes except for the price
to the public, issue date and first interest payment date, provided that such Additional 2033 Senior Notes must be fungible with the
outstanding 2033 Senior Notes for U.S. federal income tax purposes. Any such Additional 2033 Senior Notes, together with the 2026 Senior
Notes shall constitute a single series of securities under the Indenture;

 

(u)           
Additional Amounts in respect of the 2033 Senior Notes shall be payable as set forth in the Senior Indenture, as amended by this
Fifteenth Supplemental Indenture.

 

Article
3

ADDITIONAL TERMS APPLICABLE TO THE SECURITIES

 

Section
3.01.       Addition of Definitions. With respect to the Securities only, Section 1.01 of the Senior Indenture is amended to include
the following definitions (which shall be deemed to arise in Section 1.01 in their proper alphabetical order):

 

“Business
Day” means any day, other than Saturday or Sunday, that is not a legal holiday nor a day on which banking institutions are
authorized or required by law or regulation to close in the City of New York or the City of London.

 

“Default”
has the meaning specified in Section 5.03.

 

“Group”
means Lloyds Banking Group plc together with its subsidiaries and associated undertakings.

 

“Loss
Absorption Disqualification Event” shall be deemed to have occurred with respect to each series of the Senior Notes if, as
a result of any amendment to, or change in, the Loss Absorption Regulations, or any change in the application or official interpretation
of the Loss Absorption Regulations, in any such case becoming effective on or after the Issue Date of the first tranche of the Senior
Notes, such Senior Notes are or (in the opinion of the Company or the opinions of the Relevant Regulator and/or the United Kingdom resolution
authority) are likely to be fully or partially excluded from the Company’s or the Group’s minimum requirements for (A) own
funds and eligible liabilities and/or (B) loss absorbing capacity instruments, in each case as such minimum requirements are applicable
to the Company and/or the Group and determined in accordance with, and pursuant to, the relevant Loss Absorption Regulations; provided
that a Loss Absorption Disqualification Event shall not occur where the exclusion of the Securities from the relevant minimum requirement(s)
is due to the remaining maturity of the Securities being less than any period prescribed by any applicable eligibility criteria for such
minimum requirements under the relevant Loss Absorption Regulations effective with respect to the Company and/or the Group on the issue
date of the first tranche of the Senior Notes.

 

    13 

     

    

“Loss
Absorption Regulations” means, at any time, the laws, regulations, requirements, guidelines, rules, standards and policies
relating to minimum requirements for own funds and eligible liabilities and/or loss absorbing capacity instruments of the United Kingdom,
the Relevant Regulator, the United Kingdom resolution authority and/or the Financial Stability Board then applicable in the United Kingdom
including, without limitation to the generality of the foregoing, any regulations, requirements, guidelines, rules, standards and policies
relating to minimum requirements for own funds and eligible liabilities and/or loss absorbing capacity instruments adopted or applied
by the Relevant Regulator and/or the United Kingdom resolution authority from time to time (whether or not such regulations, requirements,
guidelines, rules, standards or policies are applied generally or specifically to the Company or to the Group).

 

“Relevant
Regulator” means the relevant U.K. resolution authority or such other governmental authority in the United Kingdom (or if the
Company becomes domiciled in a jurisdiction other than the United Kingdom, in such other jurisdiction) having primary supervisory authority
with respect to the Company and/or the Group with respect to prudential and/or resolution matters, as the case may be.

 

“relevant
U.K. resolution authority” means any authority with the ability to exercise a U.K. bail-in power.

 

“U.K.
bail-in power” means any write-down, conversion, transfer, modification or suspension power existing from time to time under
any laws, regulations, rules or requirements relating to the resolution of banks, banking group companies, credit institutions and/or
investment firms incorporated in the United Kingdom in effect and applicable in the United Kingdom to the Company and the Group, including
but not limited to any such laws, regulations, rules or requirements which are implemented, adopted or enacted in the United Kingdom
within the context of the U.K. resolution regime under the U.K. Banking Act 2009 as the same has been or may be amended from time to
time (whether pursuant to the U.K. Financial Services (Banking Reform) Act 2013, secondary legislation or otherwise), pursuant to which
obligations of a bank, banking group company, credit institution or investment firm or any of its affiliates can be reduced, cancelled,
modified, transferred and/or converted into shares or other securities or obligations of the obligor or any other person (or suspended
for a temporary period) or pursuant to which any right in a contract governing such obligations may be deemed to have been exercised.
A reference to the “relevant U.K. resolution authority” is to any authority with the ability to exercise a U.K. bail-in power.

 

    14 

     

    

Section
3.02.       Deletion of Definitions. With respect to the Securities only, the following definitions shall be deleted in their entirety
in Section 1.01 of the Senior Indenture:

 

“Default
Interest” has the meaning specified in ‎Section 3.07.

 

“Business
Day” has the meaning specified in Section 3.01.

 

Section
3.03.       Payment; Interest
Rights Preserved. With respect to the Securities only, the following Sections of the Senior Indenture are amended and restated
in their entirety and shall read as follows:

 

Section
3.03. Execution, Authentication, Delivery and Dating. The first sentence of the fifth paragraph of Section 3.03 shall read as
follows:

 

No Senior
Debt Security shall be entitled to any benefit under this Senior Debt Securities Indenture or be valid or obligatory for any purpose
unless there appears on such Senior Debt Security a certificate of authentication substantially in the form provided for herein executed
by or on behalf of the Trustee by manual or electronic signature, and such certificate upon any Senior Debt Security shall be conclusive
evidence, and the only evidence, that such Senior Debt Security has been duly authenticated and delivered hereunder and that such Senior
Debt Security is entitled to the benefits of this Senior Debt Securities Indenture.

 

Section
3.07. Payment; Interest Rights Preserved. Except as otherwise provided as contemplated by ‎Section 3.01 with respect
to any series of Senior Debt Securities, interest, if any, on any Senior Debt Securities which is payable, and is paid or duly provided
for, on any Interest Payment Date shall be paid to the Holder (including if held through a Paying Agent of the Company designated pursuant
to ‎Section 3.01 outside the United Kingdom for collection by the Holder) at the close of business on the Regular Record Date
for such interest.

 

In
the case of Senior Debt Securities where payment is to be made in Dollars, payment at any Paying Agent’s office outside The City
of New York will be made in Dollars by check drawn on, or, at the request of the Holder, by transfer to a Dollar account maintained by
the payee with, a bank in The City of New York.

 

In
the case of Senior Debt Securities where payment is to be made in a Foreign Currency, payment will be made as established pursuant to
‎Section 3.01.

 

Subject
to the foregoing provisions of this Section, each Senior Debt Security delivered under this Senior Debt Securities Indenture upon registration
of transfer of or in exchange for or in lieu of any other Senior Debt Security shall carry the rights to interest accrued and unpaid,
and to accrue, which were carried by such other Senior Debt Security.

 

    15 

     

    

Section
3.04.       Events
of Default. With respect to the Securities only, Section 5.01 of the Senior Indenture is amended and restated in its entirety and
shall read as follows:

 

Section
5.01. Events of Default. “Event of Default”, wherever used herein with respect to Senior Debt Securities of
a particular series, means the making of an order by a court of competent jurisdiction which is not successfully appealed within 30 days
of the making of such order, or valid adoption by the shareholders of the Company of an effective resolution, for the winding-up of the
Company (other than under or in connection with a scheme of amalgamation or reconstruction not involving bankruptcy or insolvency). The
exercise of any U.K. bail-in power by the relevant U.K. resolution authority shall not constitute a default or an Event of Default under
this Section 5.01 or a Default under Section 5.03.

 

Section
3.05.       Acceleration of Maturity; Rescission and Annulment. With respect to the Securities only, Section 5.02 of the Senior Indenture
is amended by adding the following at the end of the section:

 

If
the Senior Debt Securities become due and payable (whether pursuant to this Section 5.02 or Article 11 below) and the Company fails to
pay such amounts (or any damages awarded for breach of any obligations in respect of the Senior Debt Securities or this Senior Debt Securities
Indenture) forthwith upon demand, notwithstanding the continuing right of any Holder to receive payment of the principal of and interest
on Senior Debt Securities, or to institute suit for the enforcement of any such payment, each in accordance with Section 316(b) (Directions
and Waivers by Bondholders; Prohibition of Impairment of Holders’ Right to Repayment) of the Trust Indenture Act, the Trustee,
in its own name and as trustee of an express trust, may institute proceedings for the winding up of the Company, and/or prove in a winding
up of the Company for all such due and payable amounts (including any damages awarded for breach of any obligations in respect of the
Senior Debt Securities or this Senior Debt Securities Indenture) but no other remedy shall be available to the Trustee or the Holders.

 

Section
3.06.       Defaults; Collection of Indebtedness
and Suits for Enforcement by Trustee. With respect to the Securities only, Section 5.03 of the Senior Indenture is amended and restated
in its entirety and shall read as follows:

 

Section
5.03. Defaults; Collection of Indebtedness and Suits for Enforcement by Trustee. “Default” wherever used herein
with respect to Senior Debt Securities of a particular series, means any one of the following events (subject as provided below, whatever
the reason for such Default and whether it shall be voluntary or involuntary or be effected by operation of law pursuant to any judgment,
decree or order of any court or any order, rule or regulation of any administrative or governmental body):

 

    16 

     

    

(a)
the Company fails to pay any installment of interest on any Senior Debt Security of such series on or before its Interest Payment Date
and such failure continues for 14 days; or

 

(b)
the Company fails to pay all or any part of the principal of any Senior Debt Security of such series on any date on which such principal
shall otherwise have become due and payable, whether upon redemption or otherwise, and such failure continues for seven days.

 

If
a Default occurs, the Trustee may commence a proceeding for the winding-up of the Company and/or prove in a winding-up of the Company,
provided that the Trustee may not (except in such winding-up, in accordance with Section 5.01) declare the principal amount of, or any
other amount in respect of, any Outstanding Senior Debt Security to be due and payable.

 

Subject
to applicable law, including the Trust Indenture Act, no Holder may exercise or claim any right of set-off, counterclaim, combination
of accounts, compensation or retention in respect of any amount owed to it by the Company arising under or in connection with the Senior
Debt Securities. The Holders of Senior Debt Securities by their acceptance thereof will be deemed to have waived any right of set-off,
counterclaim, combination of accounts, compensation and retention with respect to the Senior Debt Securities or this Senior Debt Securities
Indenture (or between the obligations under or in respect of any Senior Debt Securities and any liability owed by a Holder to the Company)
that they might otherwise have against the Company, whether before or during a winding-up or liquidation of the Company. Notwithstanding
the above, if any of such rights and claims of any such Holder against the Company are discharged by set-off, such Holder will immediately
pay an amount equal to the amount of such discharge to the Company or, in the event of the winding up of the Company, the liquidator
or administrator (or other relevant insolvency official), as the case may be, and until such time as payment is made will hold a sum
equal to such amount in trust for the Company or the liquidator or administrator (or other relevant insolvency official), as the case
may be, and accordingly such discharge shall be deemed not to have taken place.

 

Notwithstanding
the foregoing, failure to make any payment in respect of a series of Senior Debt Securities shall not be a Default in respect of such
Senior Debt Securities if such payment is withheld or refused and the Company delivers an Opinion of Counsel concluding that such sums
were not paid in order to comply with any fiscal or other law or regulation or with the order of any court of competent jurisdiction,
provided, however, that the Trustee may by notice to the Company require the Company to take such action (including but not limited to
proceedings for a declaration by a court of competent jurisdiction) as the Trustee may be advised in an Opinion of Counsel, upon which
opinion the Trustee may conclusively rely, is appropriate and reasonable in the circumstances to resolve such doubt, in which case the
Company shall forthwith take and expeditiously proceed with such action and shall be bound by any final resolution of the doubt resulting
therefrom. If any such action results in a determination that the relevant payment can be made without violating any applicable law,
regulation or order then the provisions of the preceding sentence shall cease to have effect and the payment shall become due and payable
on the expiration of 14 days (in the case of payments under Section 5.03(a) above) or seven days (in the case of payments under Section
5.03(b) above) after the Trustee gives written notice to the Company informing it of such resolution.

 

    17 

     

    

Except
as otherwise provided in this Article 5, the Trustee may in its discretion proceed to protect and enforce its rights and the rights of
the Holders of Senior Debt Securities of such series by such appropriate judicial proceedings as the Trustee shall deem most effectual
to protect and enforce any such rights, whether for the specific enforcement of any covenant or agreement in this Senior Debt Securities
Indenture or in aid of the exercise of any power granted herein, or to enforce any other legal or equitable right vested in the Trustee
by this Senior Debt Securities Indenture or by law, provided, however, that the Company shall not, as a result of the bringing of such
judicial proceedings, be required to pay any amount representing or measured by reference to the principal of, or any interest on, the
Senior Debt Securities prior to any date on which the principal of, or any interest on, the Senior Debt Securities would have otherwise
been payable by the Company.

 

No
recourse for the payment of the principal of (or premium, if any) or interest, if any, on any Senior Debt Security, or for any claim
based thereon or otherwise in respect thereof and no recourse under or upon any obligation, covenant or agreement of the Company in this
Senior Debt Securities Indenture, or in any Senior Debt Security, or because of the creation of any indebtedness represented thereby,
shall be had against any incorporator, stockholder, officer or director, past, present or future, of the Company or of any successor
corporation of the Company, either directly or through the Company or any successor corporation, whether by virtue of any constitution,
statute or rule of law, or by the enforcement of any assessment or penalty or otherwise; it being expressly understood that to the extent
lawful all such liability is hereby expressly waived and released as a condition of, and as a consideration for, the execution of this
Senior Debt Securities Indenture and the issue of the Senior Debt Securities.

 

No
remedy against the Company other than as referred to in this Article 5 shall be available to the Trustee or the Holders, whether for
the recovery of amounts owing in respect of the Senior Debt Securities or under this Senior Debt Securities Indenture or in respect of
any breach by the Company of any of its other obligations under or in respect of the Senior Debt Securities or under this Senior Debt
Securities Indenture, except that the Trustee and the Holders shall have such rights and powers as they are required to have under the
Trust Indenture Act.

 

Section
3.07.       With
respect to the Securities only, (a) Sections 5.07(a), 5.07(b), 5.11, 5.13, 6.02, 6.03(i), 8.01(b), 8.03(c) and 10.03(b) shall be amended
to add the words “or Default” after each appearance of the words “Event of Default” and (b) Section 11.08 shall
be amended to replace in the first paragraph the word “Unless” with the words “Subject to Section 11.1 and unless”.

 

    18 

     

    

Section
3.08.       Deletion of Satisfaction and Discharge Provisions. With respect to the Securities only, Article 4 of the Senior Indenture
is deleted in its entirety.

 

Section
3.09.      Compensation and Reimbursement. With respect to the Securities only, Section 6.07 of the Senior Indenture is amended in
part to add the following sentence at the end of the section:

 

The
Trustee’s right to reimbursement and indemnity under this Section 6.07 shall survive the payment in full of the Senior Debt Securities,
the discharge of this Senior Debt Securities Indenture, the resignation or removal of the Trustee and (without prejudice to Section 4.08
of the Fifteenth Supplemental Indenture if and to the extent applicable as set out therein) any exercise of the U.K. bail-in power by
the relevant U.K. resolution authority with respect to the obligations owed or owing to Holders pursuant to or in connection with the
Senior Debt Securities.

 

Section
3.10.       Certain Rights of Trustee.  With respect to the Securities only, Section 6.03 of the Senior Indenture is amended in part
to add the following at the end of the section:

 

(m)
The Trustee shall not be liable for errors in judgment made in good faith unless it was negligent in ascertaining the relevant facts;
and

 

(n)
The Trustee may hold funds uninvested without liability for interest in the absence of an agreement signed by the Trustee to the contrary.

 

Section
3.11.       Certain
Rights of Senior Debt Security Registrar and Paying Agent. The Senior Debt Security Registrar and Paying Agent shall have the benefit
of the rights, protections, indemnifications and immunities granted to the Trustee in the Indenture, including, without limitation, Section
6.07 of the Base Indenture, mutatis mutandis.

 

Section
3.12.      
Agreement with Respect to Exercise of U.K. Bail-In Power. The following provisions relate solely to the Securities established
pursuant to this Fifteenth Supplemental Indenture:

 

(a)           
Notwithstanding any other agreements, arrangements, or understandings between the Company and any Holder or beneficial owner of
the Senior Notes, by purchasing or acquiring the Senior Notes each Holder (including each beneficial owner) of the Senior Notes acknowledges,
accepts, agrees to be bound by and consents to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority that
may result in (i) the reduction or cancellation of all, or a portion, of the principal amount of, or interest on, the Senior Notes; (ii)
the conversion of all, or a portion, of the principal amount of, or interest on, the Senior Notes into shares or other securities or
other obligations of the Company or another person (and the issue to or conferral on the holder of such shares, securities or obligations,
including by means of an amendment, modification or variation of the terms of the Senior Notes); and/or (iii) the amendment or alteration
of the maturity of the Senior Notes, or amendment of the amount of interest due on the Senior Notes, or the dates on which interest becomes
payable, including by suspending payment for a temporary period; any U.K. bail-in power may be exercised by means of variation of the
terms of the Senior Notes solely to give effect to the exercise by the relevant U.K. resolution authority of such U.K. bail-in power.
With respect to (i), (ii) and (iii) above, references to principal and interest shall include payments of principal and interest that
have become due and payable (including principal that has become due and payable at the maturity date), but which have not been paid,
prior to the exercise of any U.K. bail-in power. Each Holder and each beneficial owner of the Senior Notes further acknowledges and agrees
that the rights of the Holders and/or beneficial owners under the Senior Notes are subject to, and will be varied, if necessary, solely
to give effect to, the exercise of any U.K. bail-in power by the relevant U.K. resolution authority.

 

    19 

     

    

(b)           
By purchasing or acquiring the Senior Notes, each Holder and each beneficial owner of the Senior Notes:

 

(i)           
acknowledges and agrees that no exercise of the U.K. bail-in power by the relevant U.K. resolution authority in respect of the
Senior Notes shall give rise to a default or an Event of Default for purposes of Section 315(b) (Notice of Default) and Section 315(c)
(Duties of the Trustee in Case of Default) of the Trust Indenture Act;

 

(ii)           
to the extent permitted by the Trust Indenture Act, waives any and all claims against the Trustee for, agrees not to initiate
a suit against the Trustee in respect of, and agrees that the Trustee shall not be liable for, any action that the Trustee takes, or
abstains from taking, in either case in accordance with the exercise of the U.K. bail-in power by the relevant U.K. resolution authority
with respect to the Senior Notes; and

 

(iii)           
acknowledges and agrees that, upon the exercise of any U.K. bail-in power by the relevant U.K. resolution authority, (a) the Trustee
shall not be required to take any further directions from Holders or beneficial owners of the Senior Notes under Section 5.12 of the
Senior Indenture, and (b) neither the Senior Indenture nor this Fifteenth Supplemental Indenture shall impose any duties upon the Trustee
whatsoever with respect to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority. Notwithstanding the foregoing,
if, following the completion of the exercise of the U.K. bail-in power by the relevant U.K. resolution authority, any of the Senior Notes
remain outstanding (for example, if the exercise of the U.K. bail-in power results in only a partial write-down of the principal of the
Senior Notes), then the Trustee’s duties under the Indenture shall remain applicable with respect to the Senior Notes following
such completion to the extent that the Company and the Trustee agree pursuant to a supplemental indenture or an amendment to this Fifteenth
Supplemental Indenture, unless the Company and the Trustee agree in writing that a supplemental indenture is not necessary.

 

    20 

     

    

(c)           
Each Holder or beneficial owner that acquires its Senior Notes in the secondary market shall be deemed to acknowledge, agree to
be bound by and consent to the same provisions specified in the Indenture to the same extent as the Holders and beneficial owners of
the Senior Notes that acquire the Senior Notes upon their initial issuance, including, without limitation, with respect to the acknowledgement
and agreement to be bound by and consent to the terms of the Senior Notes, including in relation to the U.K. bail-in power.

 

(d)           
By purchasing or acquiring the Senior Notes, each Holder and each beneficial owner shall be deemed to have (i) consented to the
exercise of any U.K. bail-in power as it may be imposed without any prior notice by the relevant U.K. resolution authority of its decision
to exercise such power with respect to the Senior Notes and (ii) authorized, directed and requested DTC and any direct participant in
DTC or other intermediary through which it holds such Senior Notes to take any and all necessary action, if required, to implement the
exercise of any U.K. bail-in power with respect to the Senior Notes as it may be imposed, without any further action or direction on
the part of such Holder or beneficial owner or the Trustee.

 

(e)           
No repayment of the principal amount of the Senior Notes or payment of interest on the Senior Notes shall become due and payable
after the exercise of any U.K. bail-in power by the relevant U.K. resolution authority unless, at the time that such repayment or payment,
respectively, is scheduled to become due, such repayment or payment would be permitted to be made by the Company under the laws and regulations
of the United Kingdom applicable to the Company and the Group.

 

(f)            
Upon the exercise of the U.K. bail-in power by the relevant U.K. resolution authority with respect to the Senior Notes, the Company
shall provide a written notice to DTC as soon as practicable regarding such exercise of the U.K. bail-in power for purposes of notifying
Holders and beneficial owners of such occurrence. The Company shall also deliver a copy of such notice to the Trustee for information
purposes only.

 

Section
3.13.       Redemption of Securities. With respect to the Securities only, Article 11 of the Senior Indenture is amended to add a Section
11.09, Section 11.10 and Section 11.11, each of which shall read as follows:

 

Section
11.09. Optional Redemption.

 

Subject
to Section 11.11 and on at least 5 Business Days’, but no more than 30 Business Days’, prior written notice delivered to
the registered holders of the 2026 Senior Notes, the Company may, at the Company’s option and in its sole discretion, (but subject
to, if and to the extent then required by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the
Relevant Regulator and the Relevant Regulator granting the Company permission), redeem the 2026 Senior Notes, in whole, but not in part,
on August 11, 2025, at a Redemption Price equal to 100% of the principal amount of the notes being redeemed together with any accrued
and unpaid interest to, but excluding, the date of redemption.

 

    21 

     

    

Subject
to Section 11.11 and on at least 5 Business Days’, but no more than 30 Business Days’, prior written notice delivered to
the registered holders of the 2033 Senior Notes, the Company may, at the Company’s option and in its sole discretion, (but subject
to, if and to the extent then required by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the
Relevant Regulator and the Relevant Regulator granting the Company permission), redeem the 2033 Senior Notes, in whole, but not in part,
on August 11, 2032, at a Redemption Price equal to 100% of the principal amount of the notes being redeemed together with any accrued
and unpaid interest to, but excluding, the date of redemption.

 

Section
11.10 Loss Absorption Disqualification Event Redemption.

 

Subject
to Section 11.11, the Company may, at the Company’s option (but subject to, if and to the extent then required by the Relevant
Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator granting
the Company permission), having given not less than 30 nor more than 60 days’ notice to holders, redeem all but not some only of
the Securities outstanding at any time at 100% of their principal amount together with any accrued but unpaid interest to the date of
redemption, if immediately prior to the giving of the notice referred to above, the Company delivers to the Trustee an Officer’s
Certificate stating that a Loss Absorption Disqualification Event has occurred.

 

Section
11.11. Conditions to Redemption and Repurchase, etc.

 

Notwithstanding
anything herein to the contrary, any redemption or purchase of Securities (other than redemption on the relevant Maturity Date), and
any modification to the terms of the Securities or any indenture relating thereto, is subject to, if and to the extent then required
by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator
granting the Company permission therefor and otherwise to compliance with the Loss Absorption Regulations if and to the extent then required
thereunder.

 

Section
3.14.       Additional
Amounts. With respect to the Securities only, Section 10.04 of the Senior Indenture is hereby amended and restated in its entirety
as follows:

 

Section
10.04. Additional Amounts. 

 

Amounts
to be paid on any series of Senior Debt Securities will be made without deduction or withholding for, or on account of, any and all present
and future income, stamp and other taxes, levies, imposts, duties, charges or fees imposed, levied, collected, withheld or assessed by
or on behalf of the United Kingdom or any political subdivision or authority thereof or therein having the power to tax (the “Taxing
Jurisdiction”), unless such deduction or withholding is required by law. If at any time a Taxing Jurisdiction requires the
Company to make such deduction or withholding, the Company will pay additional amounts with respect to interest only on, the Senior Debt
Securities (“Additional Amounts”) that are necessary in order that the net amounts of interest paid to the Holders
of Senior Debt Securities of the particular series, after the deduction or withholding, shall equal the amounts of interest only which
would have been payable on the Senior Debt Securities if the deduction or withholding had not been required. However, this
will not apply to any such tax, levy, impost, duty, charge or fee, which would not have been deducted or withheld but for the fact that:

 

    22 

     

    

(i)
the Holder or the beneficial owner of the Senior Debt Security is a domiciliary, national or resident of, or engaging in business or
maintaining a permanent establishment or is physically present in, the Taxing Jurisdiction or otherwise has some connection with the
Taxing Jurisdiction other than the holding or ownership of a Senior Debt Security, or the collection of any payment of (or in respect
of) principal of, or any interest, or other payment on, any Senior Debt Security of the relevant series,

 

(ii)
except in the case of winding-up in the United Kingdom, the relevant Senior Debt Security is presented (where presentation is required)
for payment in the United Kingdom,

 

(iii)
the relevant Senior Debt Security is presented (where presentation is required) for payment more than 30 days after the date payment
became due or was provided for, whichever is later, except to the extent that the Holder would have been entitled to the Additional Amounts
on presenting the same for payment at the close of that 30 day period,

 

(iv)
the Holder or the beneficial owner of the relevant Senior Debt Security or the beneficial owner of any payment of (or in respect of)
principal of or any interest or other payment on, the Senior Debt Security failed to comply with a request of the Company or its liquidator
or other authorized person addressed to the Holder (x) to provide information concerning the nationality, residence or identity of the
Holder or the beneficial owner or (y) to make any declaration or other similar claim to satisfy any requirement, which in the case of
(x) or (y), is required or imposed by a statute, treaty, regulation or administrative practice of the Taxing Jurisdiction as a precondition
to exemption from all or part of the tax, levy, impost, duty, charge or fee,

 

(v)
the deduction or withholding is imposed by reason of any agreement with the U.S. Internal Revenue Service in connection with Sections
1471-1474 of the U.S. Internal Revenue Code and the U.S. Treasury regulations thereunder (“FATCA”), any intergovernmental
agreement between the United States and the United Kingdom or any other jurisdiction with respect to FATCA, or any law, regulation or
other official guidance enacted in any jurisdiction implementing, or relating to, FATCA or any intergovernmental agreement, or

 

    23 

     

    

(vi)
any combination of subclauses (i) through (v) above,

 

nor
shall Additional Amounts be paid with respect to any interest only on the Senior Debt Securities to any Holder who is a fiduciary or
partnership or any person other than the sole beneficial owner of such payment to the extent such payment would be required by the laws
of any Taxing Jurisdiction to be included in the income for tax purposes of a beneficiary or partner or settlor with respect to such
fiduciary or a member of such partnership or a beneficial owner who would not have been entitled to such Additional Amounts, had it been
the Holder.

 

Whenever
in this Senior Debt Securities Indenture there is mentioned, in any context, the payment of interest on, in respect of, any Senior Debt
Security of any series such mention shall be deemed to include mention of the payment of Additional Amounts provided for in this Section
to the extent that, in such context, Additional Amounts are, were or would be payable in respect thereof pursuant to the provisions of
this Section and as if express mention of the payment of Additional Amounts (if applicable) were made in any provisions hereof where
such express mention is not made. Upon request from the Trustee or a paying agent, the Company shall provide information reasonably necessary
and readily available in order to enable to the Trustee or paying agent to determine whether any withholding obligations under FATCA
apply. Neither the Company, the Trustee or a paying agent shall have any liability in connection with the Company’s or Trustee’s
or paying agent’s compliance with any such withholding obligation under applicable law.

 

Article
4

MISCELLANEOUS

 

Section
4.01.       Effect
of Supplemental Indenture. Upon the execution and delivery of this Fifteenth Supplemental Indenture by each of the Company and the
Trustee, and the delivery of the documents referred to in Section 5.02 herein, the Senior Indenture shall be supplemented in accordance
herewith, and this Fifteenth Supplemental Indenture shall form a part of the Senior Indenture for all purposes in respect of the Securities
or otherwise as applicable.

 

Section
4.02.       Other Documents to be Given to the Trustee. The Trustee shall be entitled to receive an Officer’s Certificate and
an Opinion of Counsel stating the recitals contained in Section 1.02 of the Senior Indenture and, in the case of the Opinion of Counsel,
stating that the Indenture is a legal, binding a valid obligation of the Company enforceable in accordance with its terms. As specified
in Section 9.03 of the Senior Indenture and subject to the provisions of Section 6.03 of the Senior Indenture, the Trustee shall also
be entitled to receive an Opinion of Counsel stating that that this Fifteenth Supplemental Indenture is authorized or permitted by the
Indenture, and the Fifteenth Supplemental Indenture and the Securities whose terms are incorporated by reference herein are each, subject
to Section 1.03 of the Senior Indenture, a legal, valid and binding obligation of the Company enforceable in accordance with their terms,
except as the enforceability thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or other laws relating to or
affecting creditor’s rights generally, by equitable principles of general applicability and by possible judicial actions giving
effect to governmental actions or foreign laws affecting creditors’ rights, and the Fifteenth Supplemental Indenture is permitted
under the Indenture. The Trustee may rely on such Officer’s Certificate and Opinion of Counsel as conclusive evidence that this
Fifteenth Supplemental Indenture complies with the applicable provisions of the Senior Indenture.

 

    24 

     

    

Section
4.03.      Confirmation
of Indenture. The Senior Indenture, as supplemented and amended by this Fifteenth Supplemental Indenture with respect to the Securities
or otherwise as applicable, is in all respects ratified and confirmed, and the Senior Indenture, this Fifteenth Supplemental Indenture
and all indentures supplemental thereto shall, in respect of the Securities or otherwise as applicable, be read, taken and construed
as one and the same instrument. This Fifteenth Supplemental Indenture constitutes an integral part of the Senior Indenture and, where
applicable, with respect to the Securities. In the event of a conflict between the terms and conditions of the Senior Indenture and the
terms and conditions of this Fifteenth Supplemental Indenture, the terms and conditions of this Fifteenth Supplemental Indenture shall
prevail where applicable.

 

Section
4.04.       Concerning the Trustee. The Trustee does not make any representations as to the validity or sufficiency of this Fifteenth
Supplemental Indenture or the Securities. The recitals and statements herein are deemed to be those of the Company and not the Trustee.
In entering into this Fifteenth Supplemental Indenture, the Trustee shall be entitled to the benefit of every provision of the Senior
Indenture relating to the conduct of or affecting the liability of or affording protection to the Trustee.

 

Section
4.05.       Governing Law. This Fifteenth Supplemental Indenture and the Securities shall be governed by and construed in accordance
with the laws of the State of New York, except that the waiver of set-off provisions set forth in the third paragraph of Section 5.03
of the Senior Indenture, as amended and restated in its entirety by virtue of Section 3.06 hereof, shall be governed by and construed
in accordance with the laws of Scotland, and that the authorization and execution by the Company of this Fifteenth Supplemental Indenture
and the Securities shall be governed by (in addition to the laws of the State of New York relevant to execution) the respective jurisdictions
of the Company, the Trustee and the Senior Debt Security Registrar, as the case may be.

 

    25 

     

    

Section
4.06.      Separability. In case any provision contained in this Fifteenth Supplemental Indenture shall be invalid, illegal or unenforceable,
the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby.

 

Section
4.07.      Counterparts. Electronic Signatures. This Fifteenth Supplemental Indenture may be executed in any number of counterparts,
each of which shall be an original, but such counterparts shall together constitute but one and the same instrument. The words “execution,”
“signed,” “signature,” and words of like import in this Supplemental Indenture or in any certificate, agreement
or document related to this Fifteenth Supplemental Indenture shall include electronic signatures (including, without limitation, DocuSign
and Adobe Sign). The use of electronic signatures and electronic records (including, without limitation, any contract or other record
created, generated, sent, communicated, received, or stored by electronic means) shall be of the same legal effect, validity and enforceability
as a manually executed signature or use of a paper-based record-keeping system to the fullest extent permitted by applicable law, including
the Federal Electronic Signatures in Global and National Commerce Act, the New York State Electronic Signatures and Records Act and any
other applicable law, including, without limitation, any state law based on the Uniform Electronic Transactions Act or the Uniform Commercial
Code.

 

Section
4.08.       Concerning U.K. Bail-in Liability. Notwithstanding and to the exclusion of any other term of this Fifteenth Supplemental
Indenture or the Senior Indenture or any other agreements, arrangements, or understanding between the Company and the Trustee, the Trustee
acknowledges and accepts that a U.K. Bail-in Liability arising under this Fifteenth Supplemental Indenture may be subject to the exercise
of U.K. Bail-in Powers by the U.K. resolution authority and acknowledges, accepts, and agrees to be bound by:

 

(a)           
the effect of the exercise of U.K. Bail-in Powers by the U.K. resolution authority in relation to any U.K. Bail-in Liability of
the Company to the Trustee under this Fifteenth Supplemental Indenture or the Senior Indenture, that (without limitation) may include
and result in any of the following, or some combination thereof:

 

(i)           
the reduction of all, or a portion, of the U.K. Bail-in Liability or outstanding amounts due thereon;

 

(ii)           
the conversion of all, or a portion, of the U.K. Bail-in Liability into shares, other securities or other obligations of the Company
or another person (and the issue to or conferral on the Trustee of such shares, securities or obligations);

 

(iii)           
the cancellation of the U.K. Bail-in Liability; and/or

 

    26 

     

    

(iv)           
the amendment or alteration of any interest, if applicable, thereon, the maturity or the dates on which any payments are due,
including by suspending payment for a temporary period; and

 

(b)           
the variation of the terms of this Fifteenth Supplemental Indenture, as deemed necessary by the U.K. resolution authority, to
give effect to the exercise of U.K. Bail-in Powers by the U.K. resolution authority.

 

“U.K.
Bail-in Legislation” means Part I of the U.K. Banking Act 2009 and any other law, regulation, rule or requirement applicable
from time to time in the U.K. relating to the resolution of unsound or failing banks, investment firms or other financial institutions
or their affiliates (otherwise than through liquidation, administration or other insolvency proceedings).

 

“U.K.
Bail-in Liability” means a liability in respect of which the U.K. Bail-in Powers may be exercised.

 

“U.K. Bail-in Powers”
means any write-down, conversion, transfer, modification or suspension power existing from time to time under any laws, regulations,
rules or requirements relating to the resolution of banks, banking group companies, credit institutions and/or investment firms incorporated
in the United Kingdom in effect and applicable in the United Kingdom to the Company and the Group, including but not limited to any such
laws, regulations, rules or requirements which are implemented, adopted or enacted in the United Kingdom within the context of the U.K.
resolution regime under the U.K. Banking Act 2009 as the same has been or may be amended from time to time (whether pursuant to the U.K.
Financial Services (Banking Reform) Act 2013, secondary legislation or otherwise), pursuant to which obligations of a bank, banking group
company, credit institution or investment firm or any of its affiliates can be reduced, cancelled, modified, transferred and/or converted
into shares or other securities or obligations of the obligor or any other person (or suspended for a temporary period) or pursuant to
which any right in a contract governing such obligations may be deemed to have been exercised.

 

Section
4.09.       Bail-in Relating to BRRD Party. Notwithstanding any other term of this Fifteenth Supplemental Indenture or any other agreements,
arrangements, or understanding between the parties, each counterparty to a BRRD Party under this Fifteenth Supplemental Indenture acknowledges,
accepts, and agrees to be bound by:

 

(a)           
the effect of the exercise of Bail-in Powers by the Relevant Resolution Authority in relation to any BRRD Liability of any BRRD
Party to it under this Fifteenth Supplemental Indenture, that (without limitation) may include and result in any of the following, or
some combination thereof:

 

(i)           
the reduction of all, or a portion, of the BRRD Liability or outstanding amounts due thereon;

 

    27 

     

    

(ii)           
the conversion of all, or a portion, of the BRRD Liability into shares, other securities or other obligations of the relevant
BRRD Party or another person (and the issue to or conferral on it of such shares, securities or obligations);

 

(iii)           
the cancellation of the BRRD Liability;

 

(iv)           
the amendment or alteration of the amounts due in relation to the BRRD Liability, including any interest, if applicable, thereon,
the maturity or the dates on which any payments are due, including by suspending payment for a temporary period; and

 

(b)           
the variation of the terms of this Fifteenth Supplemental Indenture, as deemed necessary by the Relevant Resolution Authority,
to give effect to the exercise of Bail-in Powers by the Relevant Resolution Authority.

 

 

[Signature Pages
Follow]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    28 

     

    

IN WITNESS WHEREOF,
the parties hereto have caused this Fifteenth Supplemental Indenture to be duly executed as of the date first written above.

 

	 	LLOYDS BANKING GROUP PLC
	 	 	 
	 	By:	/s/ Peter Green
	 	 	Name: Peter Green
	 	 	Title: Head of Senior Funding & Covered Bonds

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Signature Page
to Supplemental Indenture]

     

     

    

 

 

	 	THE BANK OF NEW YORK MELLON,
	 	acting through its London Branch,
as 
	 	Trustee
	 	 
	 	 	 
	 	By:	/s/ Thomas Bolton
	 	 	Name: Thomas Bolton
	 	 	Title: Authorized Representative

 

 

	 	THE BANK OF NEW YORK MELLON
	 	SA/NV, DUBLIN BRANCH, as Senior
	 	Debt Security Registrar
	 	 
	 	 	 
	 	By:	/s/ Thomas Bolton
	 	 	Name: Thomas Bolton
	 	 	Title: Authorized Representative

 

 

 

[Signature Page
to Supplemental Indenture]

     

     

    

EXHIBIT A

 

FORM OF 2026
SENIOR CALLABLE FIXED-TO-FIXED RATE SENIOR GLOBAL NOTE

 

UNLESS AND UNTIL
IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN DEFINITIVE FORM, THIS NOTE MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY
TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE DEPOSITARY
OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY. UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW YORK, NEW YORK) (“DTC”), TO THE COMPANY OR ITS AGENT
FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME
AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR SUCH OTHER ENTITY AS MAY BE
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

 

     

     

    

CUSIP
No. 53944Y AT0

ISIN No. US53944YAT01

Common Code: 251980454

 

LLOYDS BANKING GROUP
plc

 

4.716% SENIOR CALLABLE
FIXED-TO-FIXED RATE NOTE DUE 2026

 

	No. [·]	$[·]

  

LLOYDS BANKING
GROUP plc (herein called the “Company,” which term includes any successor person under the Indenture (as defined on the reverse
hereof)), for value received, hereby promises to pay to CEDE & CO., or registered assigns, the principal sum of $[·]
([·] dollars) on August 11, 2026 (the “Maturity Date”) or on such earlier
date as the principal hereof may become due in accordance with the terms hereof and to pay interest thereon (i) from, and including,
the date of issuance hereof to, but excluding, August 11, 2025, semi-annually in arrears on the Initial Fixed Rate Interest Payment Dates
(as defined on the reverse hereof) and (ii) from, and including, August 11, 2025 to, but excluding, August 11, 2026, semi-annually in
arrears on the Reset Rate Interest Payment Dates (as defined in the reverse hereof). Interest so payable on any Interest Payment Date
(as defined on the reverse hereof) shall be paid to the Holder in whose name this Senior Note is registered on the 15th calendar
day immediately preceding the relevant Interest Payment Date, whether or not such day is a Business Day, as defined in the Indenture
(each a “Regular Record Date”). If (i) the Company fails to pay any installment of interest on this Senior Note on or before
its Interest Payment Date and such failure continues for 14 days or (ii) the Company fails to pay all or any part of the principal of
this Senior Note on any date on which such principal shall otherwise have become due and payable, whether upon redemption or otherwise,
and such failure continues for seven days (each of (i) and (ii), a “Default”), the Trustee may commence a proceeding for
the winding up of the Company, provided that the Trustee may not, upon the occurrence of a Default, declare the principal amount of any
of the Outstanding Senior Notes to be due and payable.

 

As
set forth on the reverse hereof, interest shall accrue on this Senior Note from day to day from the date of issuance hereof until the
principal amount hereof is paid or made available for payment.

 

Payments
of interest on this Senior Note shall be computed on the basis of a 360-day year divided into twelve months of 30 days each and, in the
case of an incomplete month, the actual number of days elapsed in such period.

 

Payment
of the principal amount of (and premium, if any) and any interest on, this Senior Note will be made in such coin or currency of the United
States of America as at the time of payment is legal tender for payment of public and private debts. Such payment shall be made to the
Holder including through a Paying Agent of the Company outside the United Kingdom for collection by the Holder. If the date for payment
of the principal amount hereof (and premium, if any) or interest thereon is not a Business Day, then (subject as provided in the Indenture)
such payment shall be made on the next succeeding Business Day with the same force and effect as if made on such date for payment and
without any interest or other payment in respect of such delay.

 

    A-2 

     

    

Prior
to due presentment of this Senior Note for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee
may treat the Person in whose name this Senior Note is registered as the owner of such Senior Note for the purpose of receiving payment
of principal and interest, if any, on such Senior Note and for all other purposes whatsoever, whether or not such Senior Note be overdue,
and neither the Company, the Trustee nor any agent of the Company or the Trustee shall be affected by notice to the contrary.

 

Reference
is hereby made to the further provisions of this Senior Note set forth on the reverse hereof, which further provisions shall for all
purposes have the same effect as if set forth at this place.

 

Unless
the certificate of authentication hereon has been executed by the Trustee referred to on the reverse hereof by manual or electronic signature,
this Senior Note shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose.

 

Notwithstanding
any other agreements, arrangements, or understandings between the Company and any Holder or beneficial owner of this Senior Note, by
purchasing or acquiring this Senior Note, each Holder (including each beneficial owner) of this Senior Note acknowledges, accepts, agrees
to be bound by and consents to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority that may result in (i)
the reduction or cancellation of all, or a portion, of the principal amount of, or interest on, the Senior Notes; (ii) the conversion
of all, or a portion, of the principal amount of, or interest on, the Senior Notes into shares or other securities or other obligations
of the Company or another person (and the issue to or conferral on the holder of such shares, securities or obligations, including by
means of an amendment, modification or variation of the terms of the Senior Notes); and/or (iii) the amendment or alteration of the maturity
of the Senior Notes, or amendment of the amount of interest due on the Senior Notes, or the dates on which interest becomes payable,
including by suspending payment for a temporary period; any U.K. bail-in power may be exercised by means of variation of the terms of
the Senior Notes solely to give effect to the exercise by the relevant U.K. resolution authority of such U.K. bail-in power. With respect
to (i), (ii) and (iii) above, references to principal and interest shall include payments of principal and interest that have become
due and payable (including principal that has become due and payable at the maturity date), but which have not been paid, prior to the
exercise of any U.K. bail-in power. Each Holder and each beneficial owner of the Senior Notes further acknowledges and agrees that the
rights of the Holders and/or beneficial owners under the Senior Notes are subject to, and will be varied, if necessary, solely to give
effect to, the exercise of any U.K. bail-in power by the relevant U.K. resolution authority.

 

    A-3 

     

    

For
these purposes, a “U.K. bail-in power” is any write-down, conversion, transfer, modification or suspension power existing
from time to time under any laws, regulations, rules or requirements relating to the resolution of banks, banking group companies, credit
institutions and/or investment firms incorporated in the United Kingdom in effect and applicable in the United Kingdom to the Company
and the Group, including but not limited to any such laws, regulations, rules or requirements which are implemented, adopted or enacted
in the United Kingdom within the context of the U.K. resolution regime under the U.K. Banking Act 2009 as the same has been or may be
amended from time to time (whether pursuant to the U.K. Financial Services (Banking Reform) Act 2013, secondary legislation or otherwise),
pursuant to which obligations of a bank, banking group company, credit institution or investment firm or any of its affiliates can be
reduced, cancelled, modified, transferred and/or converted into shares or other securities or obligations of the obligor or any other
person (or suspended for a temporary period) or pursuant to which any right in a contract governing such obligations may be deemed to
have been exercised. A reference to the “relevant U.K. resolution authority” is to any authority with the ability to exercise
a U.K. bail-in power.

 

[The rest of
this page is intentionally left blank]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    A-4 

     

    

IN
WITNESS WHEREOF, the Company has caused this Senior Note to be duly executed.

 

Dated:

 

 

 

 

	 	LLOYDS BANKING GROUP PLC
	 	 
	 	 
	 	Name:
	 	Title:

 

 

 

 

 

 

 

 

 

 

 

 

 

[Global Note
Signature Page]

 

    A-5 

     

    

CERTIFICATE OF AUTHENTICATION

 

This
is one of the Senior Notes of the series designated herein referred to in the within-mentioned Indenture.

 

Dated:

 

 

	 	THE BANK OF NEW YORK MELLON,
	 	LONDON BRANCH, as Trustee
	 	 
	 	 
	 	 
	 	By:	                     
	 	Authorized Signatory
	 	

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Global Note
Signature Page]

 

    A-6 

     

    

[REVERSE OF SECURITY]

 

This
Senior Note is one of a duly authorized issue of securities of the Company (herein called the “Senior Notes”) issued and
to be issued in one or more series under a Senior Debt Securities Indenture, dated as of July 6, 2010, as amended by the First Supplemental
Indenture dated as of July 6, 2016 (herein called the “Senior Indenture”), among the Company, as issuer, and The Bank of
New York Mellon, acting through its London Branch as trustee (herein called the “Trustee,” which term includes any successor
trustee under the Senior Indenture), as supplemented by the Fifteenth Supplemental Indenture dated as of August 11, 2022, among the Company,
the Trustee and The Bank of New York Mellon SA/NV, Dublin Branch, as Senior Debt Security Registrar (the “Fifteenth Supplemental
Indenture”, and, together with the Senior Indenture, the “Indenture”) to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights, limitations of rights, duties and immunities thereunder of
the Company, the Trustee and the Holders of the Senior Notes and of the terms upon which the Senior Notes are, and are to be, authenticated
and delivered.

 

This
Senior Note is one of the series designated on the face hereof, initially limited in aggregate principal amount to $1,250,000,000. The
Company may, without the consent of the Holders of the Senior Notes, issue additional notes having the same ranking and interest rate,
maturity date, redemption terms and other terms as the Senior Notes except for the price to the public, issue date and first interest
payment date, provided that such additional notes must be fungible with the outstanding Senior Notes for U.S. federal income tax purposes.
Any such Senior Notes, together with this Senior Note, will constitute a single series of securities under the Indenture. The Senior
Notes will initially be issued in the form of one or more global Senior Notes (each, a “Global Senior Note”). Except as provided
in the Indenture, a Global Senior Note shall not be exchangeable for one or more definitive Senior Notes.

 

The
Senior Notes of this series will constitute direct, unconditional, unsecured and unsubordinated obligations of the Company, as described
herein, and will rank pari passu and without any preference among themselves and at least pari passu with all of the Company’s
other outstanding unsecured and unsubordinated obligations, present and future subject to such exceptions as may be provided by mandatory
provisions of applicable law.

 

During
the period from, and including, August 11, 2022 to, but excluding, August 11, 2025 (the “Initial Fixed Rate Period”), interest
shall accrue from the Issue Date at a fixed rate of 4.716% per annum. Interest accrued during the Initial Fixed Rate Period shall be
payable semi-annually in arrears on February 11 and August 11 of each year (each, a “Fixed Rate Interest Payment Date”),
commencing on February 11, 2023.

 

During
the period from, and including, August 11, 2025 (the “Reset Day”) to, but excluding, August 11, 2026 (the “Reset Fixed
Rate Period”), interest shall accrue at a fixed annual rate equal to the applicable U.S. Treasury Rate (as defined below) as determined
by the Calculation Agent (as defined below) on the Reset Determination Date (as defined below), plus 175 basis points. Interest
accrued on the Senior Notes during the Reset Fixed Rate Period will be payable semi-annually in arrears on February 11, 2026 and August
11, 2026 (each a “Reset Rate Interest Payment Date”, and together with the Fixed Rate Interest Payment Dates, the “Interest
Payment Dates”).

 

    A-7 

     

    

Interest
during the Initial Fixed Rate Period shall be calculated on the basis of a 360-day year divided into twelve months of 30 days each and,
in the case of an incomplete month, on the basis of the actual number of days elapsed in such period. If any scheduled Fixed Rate Interest
Payment Date is not a Business Day, the Company shall pay interest on the next Business Day, but interest on that payment shall not accrue
during the period from and after such scheduled Fixed Rate Interest Payment Date.

 

Interest
during the Reset Fixed Rate Period shall be calculated on the basis of a 360-day year consisting of twelve 30-day months and, in the
case of an incomplete month, on the basis of the actual number of days elapsed in such period. The interest rate during the Reset Fixed
Rate Period will be reset on the Reset Determination Date. If any scheduled Reset Rate Interest Payment Date is not a Business Day, interest
will be paid on the next Business Day, but interest on that payment will not accrue during the period from and after such scheduled Reset
Rate Interest Payment Date.

 

The
U.S. Treasury Rate shall be determined by The Bank of New York Mellon, London Branch as calculation agent (the “Calculation Agent”).

 

“U.S.
Treasury Rate” means, with respect to the Reset Date, the rate per annum equal to: (1) the yield on actively traded U.S. Treasury
securities adjusted to constant maturity for one-year maturities on the Reset Determination Date and appearing under the caption “Treasury
constant maturities” on the Reset Determination Date in the applicable most recently published statistical release designated “H.15
Daily Update”, or any successor publication that is published by the Board of Governors of the Federal Reserve System that establishes
yields on actively traded U.S. Treasury securities adjusted to constant maturity, under the caption “Treasury Constant Maturities”,
for the maturity of one year; or (2) if such release (or any successor release) is not published on the Reset Determination Date or does
not contain such yields, the rate per annum equal to the semi-annual equivalent yield to maturity of the Comparable Treasury Issue, calculated
using a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury
Price for the Reset Date.

 

If
the U.S. Treasury Rate cannot be determined, for whatever reason, as described under (1) or (2) above, “U.S. Treasury Rate”
means the rate in percentage per annum as notified by the Calculation Agent to the Company equal to the yield on U.S. Treasury securities
having a maturity of one year as set forth in the most recently published statistical release designated “H.15 Daily Update”
under the caption “Treasury constant maturities” (or any successor publication that is published weekly by the Board of Governors
of the Federal Reserve System and that establishes yields on actively traded U.S. Treasury securities adjusted to constant maturity under
the caption “Treasury constant maturities” for the maturity of one year) on the Reset Determination Date.

 

    A-8 

     

    

“Comparable
Treasury Issue” means, with respect to the Reset Fixed Rate Period, the U.S. Treasury security or securities selected by the
Company with a maturity date on or about the last day of the Reset Fixed Rate Period and that would be utilized, at the time of selection
and in accordance with customary financial practice, in pricing new issues of corporate debt securities denominated in U.S. dollars and
having a maturity of one year.

 

“Comparable
Treasury Price” means, with respect to the Reset Date, (i) the arithmetic average of the Reference Treasury Dealer Quotations
for the Reset Date (calculated on the Reset Determination Date preceding the Reset Date), after excluding the highest and lowest such
Reference Treasury Dealer Quotations, or (ii) if fewer than five such Reference Treasury Dealer Quotations are received by the Company,
the arithmetic average of all such quotations, or (iii) if fewer than two such Reference Treasury Dealer Quotations are received by the
Company, then such Reference Treasury Dealer Quotations as quoted in writing to the Company by a Reference Treasury Dealer.

 

“Reference
Treasury Dealer” means each of up to five banks selected by the Company, or if the affiliates of such banks, which are (i)
primary U.S. Treasury securities dealers, and their respective successors, or (ii) market makers in pricing corporate bond issues denominated
in U.S. dollars.

 

“Reference
Treasury Dealer Quotations” means with respect to each Reference Treasury Dealer and the Reset Date, the arithmetic average,
as determined by the Calculation Agent, of the bid and offered prices for the applicable Comparable Treasury Issue, expressed in each
case as a percentage of its principal amount, at 11:00 a.m. (New York City time), on the Reset Determination Date.

 

“Reset
Determination Date” means the second Business Day immediately preceding the Reset Date.

 

All
calculations of the Calculation Agent, in the absence of manifest error, shall be conclusive for all purposes and binding on the Company,
the Trustee, the Paying Agent and on the Holders of the Senior Notes.

 

All
percentages resulting from any of the above calculations shall be rounded, if necessary, to the nearest one hundred thousandth of a percentage
point, with five one-millionths of a percentage point rounded upwards (e.g., 9.876545% (or .09876545) being rounded to 9.87655% (or .0987655))
and all dollar amounts used in or resulting from such calculations shall be rounded to the nearest cent (with one-half cent being rounded
upwards).

 

The
interest rate on the Senior Notes during the Reset Fixed Rate Period will in no event be higher than the maximum rate permitted by law
or lower than 0% per annum.

 

By
its acquisition of Senior Notes or an interest therein, each holder and beneficial owner of Senior Notes and each subsequent holder and
beneficial owner waives any and all claims in law and/or equity against the Trustee, the Calculation Agent or any paying agent for, agrees
not to initiate a suit against the Trustee, the Calculation Agent and any paying agent in respect of, and agrees that none of the Trustee,
the Calculation Agent or any paying agent will be liable for, any action that the Trustee, the Calculation Agent or any paying agent,
as the case may be, takes, or abstains from taking, in each case in accordance with this section or any losses suffered in connection
therewith.

 

    A-9 

     

    

Subject
to Section 11.11 of the Fifteenth Supplemental Indenture and on at least 5 Business Days but no more than 30 Business Days’ prior
written notice delivered to the Holders of the Senior Notes, the Company may in its sole discretion (but subject to, if and to the extent
then required by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the
Relevant Regulator granting the Company permission) redeem, the Senior Notes, in whole, but not in part, on August 11, 2025 at a redemption
price equal to 100% of the principal amount of the Senior Notes being redeemed plus any accrued and unpaid interest thereon, if
any, to, but excluding, the date of redemption.

 

If
an Event of Default with respect to the Senior Notes of this series shall have occurred and be continuing, the Trustee or the Holder
or Holders of not less than 25% in aggregate principal amount of the Outstanding Senior Notes of this series may declare the principal
amount of, and any accrued interest on and any Additional Amounts on, all the Senior Notes to be due and payable immediately, in the
manner, with the effect and subject to the conditions provided in the Indenture.

 

Except
as otherwise provided in Article 5 of the Senior Indenture, the Trustee may in its discretion proceed to protect and enforce its rights
and the rights of Holders of Senior Notes by such appropriate judicial proceedings as the Trustee shall deem most effectual to protect
and enforce any such rights, whether for the specific enforcement of any covenant or agreement in the Indenture or in aid of the exercise
of any power granted herein, or to enforce any other legal or equitable right vested in the Trustee by the Indenture or by law, provided,
however, that the Company shall not, as a result of the bringing of such judicial proceedings, be required to pay any amount representing
or measured by reference to the principal of, or any interest on, the Senior Notes prior to any date on which the principal of, or any
interest on, the Senior Notes would have otherwise been payable by the Company.

 

If
a Default occurs, the Trustee may commence a proceeding for the winding-up of the Company and/or prove in a winding-up of the Company,
provided that the Trustee may not, upon the occurrence of a Default, declare the principal amount of any of the Outstanding Senior Notes
to be due and payable.

 

Failure
to make any payment in respect of this Senior Note shall not be a Default if such payment is withheld or refused and an Opinion of Counsel
is delivered to the Trustee concluding that such sums were not paid in order to comply with any fiscal or other law or regulation or
with the order of any court of competent jurisdiction, provided, however, that the Trustee may by notice to the Company require the Company
to take such action (including but not limited to proceedings for a declaration by a court of competent jurisdiction) as the Trustee
may be advised in an Opinion of Counsel, upon which opinion the Trustee may conclusively rely, is appropriate and reasonable in the circumstances
to resolve such doubt, in which case the Company shall forthwith take and expeditiously proceed with such action and shall be bound by
any final resolution of the doubt resulting therefrom. If any such action results in a determination that the relevant payment can be
made without violating any applicable law, regulation or order then the provisions of the preceding sentence shall cease to have effect
and the payment shall become due and payable on the expiration of 14 days (in the case of payments under Section 5.03(a) of the Senior
Indenture) or seven days (in the case of payments under Section 5.03(b) of the Senior Indenture) after the Trustee gives written notice
to the Company informing it of such resolution.

 

    A-10 

     

    

Subject
to applicable law, no Holder may exercise or claim any right of set-off, counterclaim, combination of accounts, compensation or retention
in respect of any amount owed to it by the Company arising under or in connection with the Senior Notes. The Holders of Senior Notes
by their acceptance thereof will be deemed to have waived any right of set-off, counterclaim, combination of accounts, compensation and
retention with respect to the Senior Notes or the Senior Indenture (or between the obligations under or in respect of the Senior Notes
and any liability owed by a Holder to the Company) that they might otherwise have against the Company.

 

No
remedy against the Company other than as referred to in Article 5 of the Senior Indenture shall be available to the Trustee or the Holders,
whether for the recovery of amounts owing in respect of the Senior Notes or under the Indenture or in respect of any breach by the Company
of any of its other obligations under or in respect of the Senior Notes or under the Senior Indenture, except that the Trustee and the
Holders shall have such rights and powers as they are required to have under the Trust Indenture Act.

 

Amounts
to be paid on the Senior Notes of this Series will be made without deduction or withholding for, or on account of, any and all present
and future income, stamp and other taxes, levies, imposts, duties, charges or fees, levied, collected, withheld or assessed by or on
behalf of the United Kingdom or any political subdivision or authority thereof or therein having the power to tax (the “Taxing
Jurisdiction”), unless such deduction or withholding is required by law. If at any time a Taxing Jurisdiction requires the Company
to make such deduction or withholding, the Company will pay additional amounts with respect to interest only on the Senior Notes of this
series (“Additional Amounts”) that are necessary in order that the net amounts of interest paid to the Holders, after the
deduction or withholding, shall equal the amounts of interest only which would have been payable on the Senior Notes if the deduction
or withholding had not been required. However, this will not apply to any such tax, levy, impost, duty, charge or fee, which would
not have been deducted or withheld but for the fact that:

 

(i)
the Holder or the beneficial owner of a Senior Note is a domiciliary, national or resident of, or engaging in business or maintaining
a permanent establishment or is physically present in, the Taxing Jurisdiction or otherwise has some connection with the Taxing Jurisdiction
other than the holding or ownership of a Senior Note, or the collection of any payment of (or in respect of) principal of, or interest
or other payments on, any Senior Note,

 

(ii)
except in the case of winding-up in the United Kingdom, the relevant Senior Note is presented (where presentation is required) for payment
in the United Kingdom,

 

    A-11 

     

    

(iii)
the relevant Senior Note is presented (where presentation is required) for payment more than 30 days after the date payment became due
or was provided for, whichever is later, except to the extent that the Holder would have been entitled to the Additional Amounts on presenting
the same for payment at the close of that 30 day period,

 

(iv)
the Holder or the beneficial owner of the relevant Senior Note or the beneficial owner of any payment of (or in respect of) principal
of, or interest or other payments on, the Senior Note failed to comply with a request of the Company or its liquidator or other authorized
person addressed to the Holder (x) to provide information concerning the nationality, residence or identity of the Holder or such beneficial
owner or (y) to make any declaration or other similar claim to satisfy any requirement, which in the case of (x) or (y), is required
or imposed by a statute, treaty, regulation or administrative practice of the Taxing Jurisdiction as a precondition to exemption from
all or part of the tax, levy, impost, duty, charge or fee,

 

(v)
the deduction or withholding is imposed by reason of any agreement with the U.S. Internal Revenue Service in connection with Sections
1471-1474 of the U.S. Internal Revenue Code and the U.S. Treasury regulations thereunder (“FATCA”), any intergovernmental
agreement between the United States and the United Kingdom or any other jurisdiction with respect to FATCA, or any law, regulation or
other official guidance enacted or issued in any jurisdiction implementing, or relating to, FATCA or any intergovernmental agreement;
or

 

(vi)
any combination of clauses (i) through (v) above,

 

nor shall Additional
Amounts be paid with respect to interest only on the Senior Notes to any Holder who is a fiduciary or partnership or any person other
than the sole beneficial owner of such payment to the extent such payment would be required by the laws of any Taxing Jurisdiction to
be included in the income for tax purposes of a beneficiary or partner or settlor with respect to such fiduciary or a member of such
partnership or a beneficial owner who would not have been entitled to such Additional Amounts, had it been the Holder. With respect to
any deduction or withholding made by any of the Company, the Trustee, the Paying Agent or another withholding agent from any amount payable
on, or in respect of, the Senior Notes in the events described in clauses (i) through (vi) above, the amounts so deducted or withheld
shall be treated as having been paid to the holder of the Senior Notes, and no additional amounts will be paid on account of any such
deduction or withholding. None of the Company, the Trustee, the Paying Agent or another withholding agent shall have any liability in
connection with their compliance with any such withholding obligation under applicable law.

 

References
herein to the payment of interest on the Senior Notes shall be deemed to include mention of the payment of Additional Amounts provided
for in the foregoing paragraph to the extent that, in such context, Additional Amounts are, were or would be payable under the foregoing
provisions.

 

    A-12 

     

    

In
addition to the Company’s right to redeem the Senior Notes on August 11, 2025, the Senior Notes of this series are redeemable,
as a whole but not in part, at the option of the Company (subject to, if and to the extent required by the Relevant Regulator or the
Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator granting the Company permission),
on not less than 30 nor more than 60 days’ notice, on any Payment Date, at a redemption price equal to 100% of the principal amount,
together with accrued but unpaid interest, in respect of the Senior Notes to the date fixed for redemption, if, at any time, the Company
shall determine that as a result of a change in or amendment to the laws or regulations of the Taxing Jurisdiction (including any treaty
to which such Taxing Jurisdiction is a party), or any change in the application or interpretation of such laws or regulations (including
a decision of any court or tribunal) which change or amendment becomes effective on or after August 11, 2022:

 

(a)
in making payment under the Senior Notes the Company has or will or would on the next Payment Date become obligated to pay Additional
Amounts;

 

(b)
the payment of interest on the next Payment Date in respect of the Senior Notes would be treated as a “distribution” within
the meaning of Chapter 2 of Part 23 of the Corporation Tax Act 2010 of the United Kingdom (or any statutory modification or re-enactment
thereof for the time being); or

 

(c)
on the next Payment Date the Company would not be entitled to claim a deduction in respect of such payment of interest in computing its
United Kingdom taxation liabilities (or the value of such deduction to the Company would be materially reduced).

 

In
any case where the Company shall determine that, in accordance with Section 11.08 of the Senior Indenture, it is entitled to redeem the
Senior Notes of this series, the Company shall be required to deliver to the Trustee prior to the giving of any notice of redemption
(i) a written legal opinion of independent United Kingdom counsel of recognized standing (selected by the Company) in a form satisfactory
to the Trustee confirming that the relevant change or amendment has occurred and that the Company is entitled to exercise its right of
redemption and (ii) an Officer’s Certificate, evidencing compliance with such provisions and stating that it is entitled to redeem
the Senior Notes pursuant to the terms of the Senior Notes.

 

The
Company may, at the Company’s option (but subject to, if and to the extent then required by the Relevant Regulator or the Loss
Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator granting the Company permission),
having given not less than 30 nor more than 60 days’ notice to holders, redeem all but not some only of the Senior Notes outstanding
at any time at 100% of their principal amount together with any accrued but unpaid interest to the date of redemption, if immediately
prior to the giving of the notice referred to above, the Company delivers to the Trustee an Officer’s Certificate stating that
a Loss Absorption Disqualification Event has occurred. Any redemption or purchase of Senior Notes (other than redemption on the relevant
maturity date), and any modification to the terms of the Senior Notes or any indenture relating thereto, is subject to, if and to the
extent then required by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator
and the Relevant Regulator granting the Company permission therefor and otherwise to compliance with the Loss Absorption Regulations
if and to the extent then required thereunder.

 

    A-13 

     

    

If
the Company elects to redeem the Senior Notes of this series, the Senior Notes will cease to accrue interest from the date of redemption,
provided the redemption price has been paid in accordance with the Indenture.

 

Upon
payment of (i) the amount of principal (and premium, if any) so declared due and payable and (ii) accrued and unpaid interest, all of
the Company’s obligations in respect of the payment of the principal of (and premium, if any), and accrued and unpaid interest
on, the Senior Notes of this series shall terminate.

 

Notwithstanding
any other agreements, arrangements, or understandings between the Company and any Holder or beneficial owner of the Securities, by purchasing
or acquiring the Senior Notes each Holder (including each beneficial owner) of the Senior Notes acknowledges, accepts, agrees to be bound
by and consents to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority that may result in (i) the reduction
or cancellation of all, or a portion, of the principal amount of, or interest on, the Senior Notes; (ii) the conversion of all, or a
portion, of the principal amount of, or interest on, the Senior Notes into shares or other securities or other obligations of the Company
or another person (and the issue to or conferral on the holder of such shares, securities or obligations, including by means of an amendment,
modification or variation of the terms of the Senior Notes); and/or (iii) the amendment or alteration of the maturity of the Senior Notes,
or amendment of the amount of interest due on the Senior Notes, or the dates on which interest becomes payable, including by suspending
payment for a temporary period; any U.K. bail-in power may be exercised by means of variation of the terms of the Senior Notes solely
to give effect to the exercise by the relevant U.K. resolution authority of such U.K. bail-in power. With respect to (i), (ii) and (iii)
above, references to principal and interest shall include payments of principal and interest that have become due and payable (including
principal that has become due and payable at the maturity date), but which have not been paid, prior to the exercise of any U.K. bail-in
power. Each Holder and each beneficial owner of the Senior Notes further acknowledges and agrees that the rights of the Holders and/or
beneficial owners under the Senior Notes are subject to, and will be varied, if necessary, solely to give effect to, the exercise of
any U.K. bail-in power by the relevant U.K. resolution authority.

 

By
purchasing or acquiring the Senior Notes, each Holder and each beneficial owner of the Senior Notes:

 

(i)
acknowledges and agrees that no exercise of the U.K. bail-in power by the relevant U.K. resolution authority in respect of the Senior
Notes shall give rise to a default or an Event of Default for purposes of Section 315(b) (Notice of Default) and Section 315(c) (Duties
of the Trustee in Case of Default) of the Trust Indenture Act;

 

(ii)
to the extent permitted by the Trust Indenture Act, waives any and all claims against the Trustee for, agrees not to initiate a suit
against the Trustee in respect of, and agrees that the Trustee shall not be liable for, any action that the Trustee takes, or abstains
from taking, in either case in accordance with the exercise of the U.K. bail-in power by the relevant U.K. resolution authority with
respect to the Senior Notes; and

 

    A-14 

     

    

(iii)
acknowledges and agrees that, upon the exercise of any U.K. bail-in power by the relevant U.K. resolution authority, (a) the Trustee
shall not be required to take any further directions from Holders or beneficial owners of the Senior Notes under Section 5.12 of the
Senior Indenture, and (b) neither the Senior Indenture nor the Fifteenth Supplemental Indenture shall impose any duties upon the Trustee
whatsoever with respect to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority. Notwithstanding the foregoing,
if, following the completion of the exercise of the U.K. bail-in power by the relevant U.K. resolution authority, any of the Senior Notes
remain outstanding (for example, if the exercise of the U.K. bail-in power results in only a partial write-down of the principal of the
Senior Notes), then the Trustee’s duties under the Indenture shall remain applicable with respect to the Senior Notes following
such completion to the extent that the Company and the Trustee shall agree pursuant to a supplemental indenture or an amendment to the
Fifteenth Supplemental Indenture, unless the Company and the Trustee agree in writing that a supplemental indenture is not necessary.

 

Each
Holder or beneficial owner that acquires its Senior Notes in the secondary market shall be deemed to acknowledge, agree to be bound by
and consent to the same provisions specified in the Indenture to the same extent as the Holders and beneficial owners of the Senior Notes
that acquire the Senior Notes upon their initial issuance, including, without limitation, with respect to the acknowledgement and agreement
to be bound by and consent to the terms of the Senior Notes, including in relation to the U.K. bail-in power.

 

By
purchasing or acquiring the Senior Notes, each Holder and each beneficial owner shall be deemed to have (i) consented to the exercise
of any U.K. bail-in power as it may be imposed without any prior notice by the relevant U.K. resolution authority of its decision to
exercise such power with respect to the Senior Notes and (ii) authorized, directed and requested DTC and any direct participant in DTC
or other intermediary through which it holds such Senior Notes to take any and all necessary action, if required, to implement the exercise
of any U.K. bail-in power with respect to the Senior Notes as it may be imposed, without any further action or direction on the part
of such Holder or beneficial owner or the Trustee.

 

No
repayment of the principal amount of the Senior Notes or payment of interest on the Senior Notes shall become due and payable after the
exercise of any U.K. bail-in power by the relevant U.K. resolution authority unless, at the time that such repayment or payment, respectively,
is scheduled to become due, such repayment or payment would be permitted to be made by the Company under the laws and regulations of
the United Kingdom applicable to the Company and the Group.

 

    A-15 

     

    

Upon
the exercise of the U.K. bail-in power by the relevant U.K. resolution authority with respect to the Senior Notes, the Company shall
provide a written notice to DTC as soon as practicable regarding such exercise of the U.K. bail-in power for purposes of notifying Holders
of such occurrence. The Company shall also deliver a copy of such notice to the Trustee for information purposes only.

 

The
Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations
of the Company and the rights of the Holders of the Senior Notes to be affected thereby by the Company and the Trustee with the consent
of the Holders of not less than a majority in principal amount of the Senior Notes at the time outstanding of each such series. The Indenture
also contains provisions permitting the Holders of a majority in aggregate principal amount of the outstanding Senior Notes, on behalf
of the Holders of all Senior Notes of such series, to waive compliance by the Company with certain provisions of the Indenture and certain
past defaults under the Indenture and their consequences. Any such consent or waiver by the Holder of this Senior Note shall be conclusive
and binding upon such Holder and upon all future Holders of this Senior Note and of any Senior Note issued in exchange herefor or in
lieu hereof, whether or not notation of such consent or waiver is made upon this Senior Note.

 

No
reference herein to the Indenture and no provision of this Senior Note or of the Indenture shall alter or impair the obligation of the
Company, which is absolute and unconditional, to pay, if and when due and payable, the principal of (and premium, if any) and interest
on, this Senior Note at the times, place and rate, and in the coin or currency, herein prescribed.

 

As
set forth in, and subject to, the provisions of the Indenture, no Holder of the Senior Notes will have the right to institute any proceeding
with respect to the Indenture, this Senior Note or any remedy thereunder; provided, however, that such limitations do not apply
to a suit instituted by the Holder hereof for the enforcement of payment of the principal or interest as and when the same shall have
become due and payable in accordance with the terms hereof and the Indenture.

 

No
reference herein to the Indenture and no provision of this Senior Note or of the Indenture shall alter or impair the right of the Holder
of this Senior Note, which is absolute and unconditional, to receive payment of the principal of (and premium, if any) and interest on,
this Senior Note when due and payable in accordance with the provisions of this Senior Note and the Indenture.

 

This
Senior Note is governed by the laws of the State of New York, except for the waiver of set-off provisions relating to the Senior Notes
which are governed by and construed in accordance with the laws of Scotland.

 

Unless
otherwise defined herein, all terms used in this Senior Note which are defined in the Indenture shall have the meanings assigned to them
in the Indenture.

    A-16 

     

    

EXHIBIT B

 

FORM OF 2033
SENIOR CALLABLE FIXED-TO-FIXED RATE SENIOR GLOBAL NOTE

 

UNLESS AND UNTIL
IT IS EXCHANGED IN WHOLE OR IN PART FOR NOTES IN DEFINITIVE FORM, THIS NOTE MAY NOT BE TRANSFERRED EXCEPT AS A WHOLE BY THE DEPOSITARY
TO A NOMINEE OF THE DEPOSITARY OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY OR BY THE DEPOSITARY
OR ANY SUCH NOMINEE TO A SUCCESSOR DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY. UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED
REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY (55 WATER STREET, NEW YORK, NEW YORK) (“DTC”), TO THE COMPANY OR ITS AGENT
FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR SUCH OTHER NAME
AS MAY BE REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR SUCH OTHER ENTITY AS MAY BE
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON
IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

 

    A-17 

     

    

CUSIP
No. 53944Y AU7

ISIN No. US53944YAU73

Common Code: 251980519

 

LLOYDS BANKING GROUP
plc

 

4.976% SENIOR CALLABLE
FIXED-TO-FIXED RATE NOTE DUE 2033

 

	No. [·]	$[·]

 

LLOYDS BANKING
GROUP plc (herein called the “Company,” which term includes any successor person under the Indenture (as defined on the reverse
hereof)), for value received, hereby promises to pay to CEDE & CO., or registered assigns, the principal sum of $[·]
([·] dollars) on August 11, 2033 (the “Maturity Date”) or on such earlier
date as the principal hereof may become due in accordance with the terms hereof and to pay interest thereon (i) from, and including,
the date of issuance hereof to, but excluding, August 11, 2032, semi-annually in arrears on the Initial Fixed Rate Interest Payment Dates
(as defined on the reverse hereof) and (ii) from, and including, August 11, 2032 to, but excluding, August 11, 2033, semi-annually in
arrears on the Reset Rate Interest Payment Dates (as defined in the reverse hereof). Interest so payable on any Interest Payment Date
(as defined on the reverse hereof) shall be paid to the Holder in whose name this Senior Note is registered on the 15th calendar
day immediately preceding the relevant Interest Payment Date, whether or not such day is a Business Day, as defined in the Indenture
(each a “Regular Record Date”). If (i) the Company fails to pay any installment of interest on this Senior Note on or before
its Interest Payment Date and such failure continues for 14 days or (ii) the Company fails to pay all or any part of the principal of
this Senior Note on any date on which such principal shall otherwise have become due and payable, whether upon redemption or otherwise,
and such failure continues for seven days (each of (i) and (ii), a “Default”), the Trustee may commence a proceeding for
the winding up of the Company, provided that the Trustee may not, upon the occurrence of a Default, declare the principal amount of any
of the Outstanding Senior Notes to be due and payable.

 

As
set forth on the reverse hereof, interest shall accrue on this Senior Note from day to day from the date of issuance hereof until the
principal amount hereof is paid or made available for payment.

 

Payments
of interest on this Senior Note shall be computed on the basis of a 360-day year divided into twelve months of 30 days each and, in the
case of an incomplete month, the actual number of days elapsed in such period.

 

Payment
of the principal amount of (and premium, if any) and any interest on, this Senior Note will be made in such coin or currency of the United
States of America as at the time of payment is legal tender for payment of public and private debts. Such payment shall be made to the
Holder including through a Paying Agent of the Company outside the United Kingdom for collection by the Holder. If the date for payment
of the principal amount hereof (and premium, if any) or interest thereon is not a Business Day, then (subject as provided in the Indenture)
such payment shall be made on the next succeeding Business Day with the same force and effect as if made on such date for payment and
without any interest or other payment in respect of such delay.

 

    A-18 

     

    

Prior
to due presentment of this Senior Note for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee
may treat the Person in whose name this Senior Note is registered as the owner of such Senior Note for the purpose of receiving payment
of principal and interest, if any, on such Senior Note and for all other purposes whatsoever, whether or not such Senior Note be overdue,
and neither the Company, the Trustee nor any agent of the Company or the Trustee shall be affected by notice to the contrary.

 

Reference
is hereby made to the further provisions of this Senior Note set forth on the reverse hereof, which further provisions shall for all
purposes have the same effect as if set forth at this place.

 

Unless
the certificate of authentication hereon has been executed by the Trustee referred to on the reverse hereof by manual or electronic signature,
this Senior Note shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose.

 

Notwithstanding
any other agreements, arrangements, or understandings between the Company and any Holder or beneficial owner of this Senior Note, by
purchasing or acquiring this Senior Note, each Holder (including each beneficial owner) of this Senior Note acknowledges, accepts, agrees
to be bound by and consents to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority that may result in (i)
the reduction or cancellation of all, or a portion, of the principal amount of, or interest on, the Senior Notes; (ii) the conversion
of all, or a portion, of the principal amount of, or interest on, the Senior Notes into shares or other securities or other obligations
of the Company or another person (and the issue to or conferral on the holder of such shares, securities or obligations, including by
means of an amendment, modification or variation of the terms of the Senior Notes); and/or (iii) the amendment or alteration of the maturity
of the Senior Notes, or amendment of the amount of interest due on the Senior Notes, or the dates on which interest becomes payable,
including by suspending payment for a temporary period; any U.K. bail-in power may be exercised by means of variation of the terms of
the Senior Notes solely to give effect to the exercise by the relevant U.K. resolution authority of such U.K. bail-in power. With respect
to (i), (ii) and (iii) above, references to principal and interest shall include payments of principal and interest that have become
due and payable (including principal that has become due and payable at the maturity date), but which have not been paid, prior to the
exercise of any U.K. bail-in power. Each Holder and each beneficial owner of the Senior Notes further acknowledges and agrees that the
rights of the Holders and/or beneficial owners under the Senior Notes are subject to, and will be varied, if necessary, solely to give
effect to, the exercise of any U.K. bail-in power by the relevant U.K. resolution authority.

 

    A-19 

     

    

For
these purposes, a “U.K. bail-in power” is any write-down, conversion, transfer, modification or suspension power existing
from time to time under any laws, regulations, rules or requirements relating to the resolution of banks, banking group companies, credit
institutions and/or investment firms incorporated in the United Kingdom in effect and applicable in the United Kingdom to the Company
and the Group, including but not limited to any such laws, regulations, rules or requirements which are implemented, adopted or enacted
in the United Kingdom within the context of the U.K. resolution regime under the U.K. Banking Act 2009 as the same has been or may be
amended from time to time (whether pursuant to the U.K. Financial Services (Banking Reform) Act 2013, secondary legislation or otherwise),
pursuant to which obligations of a bank, banking group company, credit institution or investment firm or any of its affiliates can be
reduced, cancelled, modified, transferred and/or converted into shares or other securities or obligations of the obligor or any other
person (or suspended for a temporary period) or pursuant to which any right in a contract governing such obligations may be deemed to
have been exercised. A reference to the “relevant U.K. resolution authority” is to any authority with the ability to exercise
a U.K. bail-in power.

 

[The rest of
this page is intentionally left blank]

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    A-20 

     

    

IN
WITNESS WHEREOF, the Company has caused this Senior Note to be duly executed.

 

Dated:

 

 

	 	LLOYDS BANKING GROUP PLC
	 	 
	 	 
	 	Name:
	 	Title:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Global Note
Signature Page]

    A-21 

     

    

CERTIFICATE OF AUTHENTICATION

 

This
is one of the Senior Notes of the series designated herein referred to in the within-mentioned Indenture.

 

Dated:

 

 

	 	THE BANK OF NEW YORK MELLON,
	 	LONDON BRANCH, as Trustee
	 	 
	 	 
	 	 
	 	By:	                     
	 	Authorized Signatory
	 	

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Global Note
Signature Page]

    A-22 

     

    

[REVERSE OF SECURITY]

 

This
Senior Note is one of a duly authorized issue of securities of the Company (herein called the “Senior Notes”) issued and
to be issued in one or more series under a Senior Debt Securities Indenture, dated as of July 6, 2010, as amended by the First Supplemental
Indenture dated as of July 6, 2016 (herein called the “Senior Indenture”), among the Company, as issuer, and The Bank of
New York Mellon, acting through its London Branch as trustee (herein called the “Trustee,” which term includes any successor
trustee under the Senior Indenture), as supplemented by the Fifteenth Supplemental Indenture dated as of August 11, 2022, among the Company,
the Trustee and The Bank of New York Mellon SA/NV, Dublin Branch, as Senior Debt Security Registrar (the “Fifteenth Supplemental
Indenture”, and, together with the Senior Indenture, the “Indenture”) to which Indenture and all indentures supplemental
thereto reference is hereby made for a statement of the respective rights, limitations of rights, duties and immunities thereunder of
the Company, the Trustee and the Holders of the Senior Notes and of the terms upon which the Senior Notes are, and are to be, authenticated
and delivered.

 

This
Senior Note is one of the series designated on the face hereof, initially limited in aggregate principal amount to $1,250,000,000. The
Company may, without the consent of the Holders of the Senior Notes, issue additional notes having the same ranking and interest rate,
maturity date, redemption terms and other terms as the Senior Notes except for the price to the public, issue date and first interest
payment date, provided that such additional notes must be fungible with the outstanding Senior Notes for U.S. federal income tax purposes.
Any such Senior Notes, together with this Senior Note, will constitute a single series of securities under the Indenture. The Senior
Notes will initially be issued in the form of one or more global Senior Notes (each, a “Global Senior Note”). Except as provided
in the Indenture, a Global Senior Note shall not be exchangeable for one or more definitive Senior Notes.

 

The
Senior Notes of this series will constitute direct, unconditional, unsecured and unsubordinated obligations of the Company, as described
herein, and will rank pari passu and without any preference among themselves and at least pari passu with all of the Company’s
other outstanding unsecured and unsubordinated obligations, present and future subject to such exceptions as may be provided by mandatory
provisions of applicable law.

 

During
the period from, and including, August 11, 2022 to, but excluding, August 11, 2032 (the “Initial Fixed Rate Period”), interest
shall accrue from the Issue Date at a fixed rate of 4.976% per annum. Interest accrued during the Initial Fixed Rate Period shall be
payable semi-annually in arrears on February 11 and August 11 of each year (each, a “Fixed Rate Interest Payment Date”),
commencing on February 11, 2023.

 

During
the period from, and including, August 11, 2032 (the “Reset Date”) to, but excluding, August 11, 2033 (the “Reset Fixed
Rate Period”), interest shall accrue at a fixed annual rate equal to the applicable U.S. Treasury Rate (as defined below) as determined
by the Calculation Agent (as defined below) on the Reset Determination Date (as defined below), plus 230 basis points. Interest
accrued on the Senior Notes during the Reset Fixed Rate Period will be payable semi-annually in arrears on February 11, 2033 and August
11, 2033 (each a “Reset Rate Interest Payment Date”, and together with the Fixed Rate Interest Payment Dates, the “Interest
Payment Dates”).

 

    A-23 

     

    

Interest
during the Initial Fixed Rate Period shall be calculated on the basis of a 360-day year divided into twelve months of 30 days each and,
in the case of an incomplete month, on the basis of the actual number of days elapsed in such period. If any scheduled Fixed Rate Interest
Payment Date is not a Business Day, the Company shall pay interest on the next Business Day, but interest on that payment shall not accrue
during the period from and after such scheduled Fixed Rate Interest Payment Date.

 

Interest
during the Reset Fixed Rate Period shall be calculated on the basis of a 360-day year consisting of twelve 30-day months and, in the
case of an incomplete month, on the basis of the actual number of days elapsed in such period. The interest rate during the Reset Fixed
Rate Period will be reset on the Reset Determination Date. If any scheduled Reset Rate Interest Payment Date is not a Business Day, interest
will be paid on the next Business Day, but interest on that payment will not accrue during the period from and after such scheduled Reset
Rate Interest Payment Date.

 

The
U.S. Treasury Rate shall be determined by The Bank of New York Mellon, London Branch as calculation agent (the “Calculation Agent”).

 

“U.S.
Treasury Rate” means, with respect to the Reset Date, the rate per annum equal to: (1) the yield on actively traded U.S. Treasury
securities adjusted to constant maturity for one-year maturities on the Reset Determination Date and appearing under the caption “Treasury
constant maturities” on the Reset Determination Date in the applicable most recently published statistical release designated “H.15
Daily Update”, or any successor publication that is published by the Board of Governors of the Federal Reserve System that establishes
yields on actively traded U.S. Treasury securities adjusted to constant maturity, under the caption “Treasury Constant Maturities”,
for the maturity of one year; or (2) if such release (or any successor release) is not published on the Reset Determination Date or does
not contain such yields, the rate per annum equal to the semi-annual equivalent yield to maturity of the Comparable Treasury Issue, calculated
using a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury
Price for the Reset Date.

 

If
the U.S. Treasury Rate cannot be determined, for whatever reason, as described under (1) or (2) above, “U.S. Treasury Rate”
means the rate in percentage per annum as notified by the Calculation Agent to the Company equal to the yield on U.S. Treasury securities
having a maturity of one year as set forth in the most recently published statistical release designated “H.15 Daily Update”
under the caption “Treasury constant maturities” (or any successor publication that is published weekly by the Board of Governors
of the Federal Reserve System and that establishes yields on actively traded U.S. Treasury securities adjusted to constant maturity under
the caption “Treasury constant maturities” for the maturity of one year) on the Reset Determination Date.

 

    A-24 

     

    

“Comparable
Treasury Issue” means, with respect to the Reset Fixed Rate Period, the U.S. Treasury security or securities selected by the
Company with a maturity date on or about the last day of the Reset Fixed Rate Period and that would be utilized, at the time of selection
and in accordance with customary financial practice, in pricing new issues of corporate debt securities denominated in U.S. dollars and
having a maturity of one year.

 

“Comparable
Treasury Price” means, with respect to the Reset Date, (i) the arithmetic average of the Reference Treasury Dealer Quotations
for the Reset Date (calculated on the Reset Determination Date preceding the Reset Date), after excluding the highest and lowest such
Reference Treasury Dealer Quotations, or (ii) if fewer than five such Reference Treasury Dealer Quotations are received by the Company,
the arithmetic average of all such quotations, or (iii) if fewer than two such Reference Treasury Dealer Quotations are received by the
Company, then such Reference Treasury Dealer Quotations as quoted in writing to the Company by a Reference Treasury Dealer.

 

“Reference
Treasury Dealer” means each of up to five banks selected by the Company, or if the affiliates of such banks, which are (i)
primary U.S. Treasury securities dealers, and their respective successors, or (ii) market makers in pricing corporate bond issues denominated
in U.S. dollars.

 

“Reference
Treasury Dealer Quotations” means with respect to each Reference Treasury Dealer and the Reset Date, the arithmetic average,
as determined by the Calculation Agent, of the bid and offered prices for the applicable Comparable Treasury Issue, expressed in each
case as a percentage of its principal amount, at 11:00 a.m. (New York City time), on the Reset Determination Date.

 

“Reset
Determination Date” means the second Business Day immediately preceding the Reset Date.

 

All
calculations of the Calculation Agent, in the absence of manifest error, shall be conclusive for all purposes and binding on the Company,
the Trustee, the Paying Agent and on the Holders of the Senior Notes.

 

All
percentages resulting from any of the above calculations shall be rounded, if necessary, to the nearest one hundred thousandth of a percentage
point, with five one-millionths of a percentage point rounded upwards (e.g., 9.876545% (or .09876545) being rounded to 9.87655% (or .0987655))
and all dollar amounts used in or resulting from such calculations shall be rounded to the nearest cent (with one-half cent being rounded
upwards).

 

The
interest rate on the Senior Notes during the Reset Fixed Rate Period will in no event be higher than the maximum rate permitted by law
or lower than 0% per annum.

 

By
its acquisition of Senior Notes or an interest therein, each holder and beneficial owner of Senior Notes and each subsequent holder and
beneficial owner waives any and all claims in law and/or equity against the Trustee, the Calculation Agent or any paying agent for, agrees
not to initiate a suit against the Trustee, the Calculation Agent and any paying agent in respect of, and agrees that none of the Trustee,
the Calculation Agent or any paying agent will be liable for, any action that the Trustee, the Calculation Agent or any paying agent,
as the case may be, takes, or abstains from taking, in each case in accordance with this section or any losses suffered in connection
therewith.

 

    A-25 

     

    

Subject
to Section 11.11 of the Fifteenth Supplemental Indenture and on at least 5 Business Days but no more than 30 Business Days’ prior
written notice delivered to the Holders of the Senior Notes, the Company may in its sole discretion (but subject to, if and to the extent
then required by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the
Relevant Regulator granting the Company permission) redeem, the Senior Notes, in whole, but not in part, on August 11, 2032 at a redemption
price equal to 100% of the principal amount of the Senior Notes being redeemed plus any accrued and unpaid interest thereon, if
any, to, but excluding, the date of redemption.

 

If
an Event of Default with respect to the Senior Notes of this series shall have occurred and be continuing, the Trustee or the Holder
or Holders of not less than 25% in aggregate principal amount of the Outstanding Senior Notes of this series may declare the principal
amount of, and any accrued interest on and any Additional Amounts on, all the Senior Notes to be due and payable immediately, in the
manner, with the effect and subject to the conditions provided in the Indenture.

 

Except
as otherwise provided in Article 5 of the Senior Indenture, the Trustee may in its discretion proceed to protect and enforce its rights
and the rights of Holders of Senior Notes by such appropriate judicial proceedings as the Trustee shall deem most effectual to protect
and enforce any such rights, whether for the specific enforcement of any covenant or agreement in the Indenture or in aid of the exercise
of any power granted herein, or to enforce any other legal or equitable right vested in the Trustee by the Indenture or by law, provided,
however, that the Company shall not, as a result of the bringing of such judicial proceedings, be required to pay any amount representing
or measured by reference to the principal of, or any interest on, the Senior Notes prior to any date on which the principal of, or any
interest on, the Senior Notes would have otherwise been payable by the Company.

 

If
a Default occurs, the Trustee may commence a proceeding for the winding-up of the Company and/or prove in a winding-up of the Company,
provided that the Trustee may not, upon the occurrence of a Default, declare the principal amount of any of the Outstanding Senior Notes
to be due and payable.

 

Failure
to make any payment in respect of this Senior Note shall not be a Default if such payment is withheld or refused and an Opinion of Counsel
is delivered to the Trustee concluding that such sums were not paid in order to comply with any fiscal or other law or regulation or
with the order of any court of competent jurisdiction, provided, however, that the Trustee may by notice to the Company require the Company
to take such action (including but not limited to proceedings for a declaration by a court of competent jurisdiction) as the Trustee
may be advised in an Opinion of Counsel, upon which opinion the Trustee may conclusively rely, is appropriate and reasonable in the circumstances
to resolve such doubt, in which case the Company shall forthwith take and expeditiously proceed with such action and shall be bound by
any final resolution of the doubt resulting therefrom. If any such action results in a determination that the relevant payment can be
made without violating any applicable law, regulation or order then the provisions of the preceding sentence shall cease to have effect
and the payment shall become due and payable on the expiration of 14 days (in the case of payments under Section 5.03(a) of the Senior
Indenture) or seven days (in the case of payments under Section 5.03(b) of the Senior Indenture) after the Trustee gives written notice
to the Company informing it of such resolution.

 

    A-26 

     

    

Subject
to applicable law, no Holder may exercise or claim any right of set-off, counterclaim, combination of accounts, compensation or retention
in respect of any amount owed to it by the Company arising under or in connection with the Senior Notes. The Holders of Senior Notes
by their acceptance thereof will be deemed to have waived any right of set-off, counterclaim, combination of accounts, compensation and
retention with respect to the Senior Notes or the Senior Indenture (or between the obligations under or in respect of the Senior Notes
and any liability owed by a Holder to the Company) that they might otherwise have against the Company.

 

No
remedy against the Company other than as referred to in Article 5 of the Senior Indenture shall be available to the Trustee or the Holders,
whether for the recovery of amounts owing in respect of the Senior Notes or under the Indenture or in respect of any breach by the Company
of any of its other obligations under or in respect of the Senior Notes or under the Senior Indenture, except that the Trustee and the
Holders shall have such rights and powers as they are required to have under the Trust Indenture Act.

 

Amounts
to be paid on the Senior Notes of this Series will be made without deduction or withholding for, or on account of, any and all present
and future income, stamp and other taxes, levies, imposts, duties, charges or fees, levied, collected, withheld or assessed by or on
behalf of the United Kingdom or any political subdivision or authority thereof or therein having the power to tax (the “Taxing
Jurisdiction”), unless such deduction or withholding is required by law. If at any time a Taxing Jurisdiction requires the Company
to make such deduction or withholding, the Company will pay additional amounts with respect to interest only on the Senior Notes of this
series (“Additional Amounts”) that are necessary in order that the net amounts of interest paid to the Holders, after the
deduction or withholding, shall equal the amounts of interest only which would have been payable on the Senior Notes if the deduction
or withholding had not been required. However, this will not apply to any such tax, levy, impost, duty, charge or fee, which would
not have been deducted or withheld but for the fact that:

 

(i)
the Holder or the beneficial owner of a Senior Note is a domiciliary, national or resident of, or engaging in business or maintaining
a permanent establishment or is physically present in, the Taxing Jurisdiction or otherwise has some connection with the Taxing Jurisdiction
other than the holding or ownership of a Senior Note, or the collection of any payment of (or in respect of) principal of, or interest
or other payments on, any Senior Note,

 

(ii)
except in the case of winding-up in the United Kingdom, the relevant Senior Note is presented (where presentation is required) for payment
in the United Kingdom,

 

    A-27 

     

    

(iii)
the relevant Senior Note is presented (where presentation is required) for payment more than 30 days after the date payment became due
or was provided for, whichever is later, except to the extent that the Holder would have been entitled to the Additional Amounts on presenting
the same for payment at the close of that 30 day period,

 

(iv)
the Holder or the beneficial owner of the relevant Senior Note or the beneficial owner of any payment of (or in respect of) principal
of, or interest or other payments on, the Senior Note failed to comply with a request of the Company or its liquidator or other authorized
person addressed to the Holder (x) to provide information concerning the nationality, residence or identity of the Holder or such beneficial
owner or (y) to make any declaration or other similar claim to satisfy any requirement, which in the case of (x) or (y), is required
or imposed by a statute, treaty, regulation or administrative practice of the Taxing Jurisdiction as a precondition to exemption from
all or part of the tax, levy, impost, duty, charge or fee,

 

(v)
the deduction or withholding is imposed by reason of any agreement with the U.S. Internal Revenue Service in connection with Sections
1471-1474 of the U.S. Internal Revenue Code and the U.S. Treasury regulations thereunder (“FATCA”), any intergovernmental
agreement between the United States and the United Kingdom or any other jurisdiction with respect to FATCA, or any law, regulation or
other official guidance enacted or issued in any jurisdiction implementing, or relating to, FATCA or any intergovernmental agreement;
or

 

(vi)
any combination of clauses (i) through (v) above,

 

nor shall Additional
Amounts be paid with respect to interest only on the Senior Notes to any Holder who is a fiduciary or partnership or any person other
than the sole beneficial owner of such payment to the extent such payment would be required by the laws of any Taxing Jurisdiction to
be included in the income for tax purposes of a beneficiary or partner or settlor with respect to such fiduciary or a member of such
partnership or a beneficial owner who would not have been entitled to such Additional Amounts, had it been the Holder. With respect to
any deduction or withholding made by any of the Company, the Trustee, the Paying Agent or another withholding agent from any amount payable
on, or in respect of, the Senior Notes in the events described in clauses (i) through (vi) above, the amounts so deducted or withheld
shall be treated as having been paid to the holder of the Senior Notes, and no additional amounts will be paid on account of any such
deduction or withholding. None of the Company, the Trustee, the Paying Agent or another withholding agent shall have any liability in
connection with their compliance with any such withholding obligation under applicable law.

 

References
herein to the payment of interest on the Senior Notes shall be deemed to include mention of the payment of Additional Amounts provided
for in the foregoing paragraph to the extent that, in such context, Additional Amounts are, were or would be payable under the foregoing
provisions.

 

    A-28 

     

    

In
addition to the Company’s right to redeem the Senior Notes on August 11, 2032, the Senior Notes of this series are redeemable,
as a whole but not in part, at the option of the Company (subject to, if and to the extent required by the Relevant Regulator or the
Loss Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator granting the Company permission),
on not less than 30 nor more than 60 days’ notice, on any Payment Date, at a redemption price equal to 100% of the principal amount,
together with accrued but unpaid interest, in respect of the Senior Notes to the date fixed for redemption, if, at any time, the Company
shall determine that as a result of a change in or amendment to the laws or regulations of the Taxing Jurisdiction (including any treaty
to which such Taxing Jurisdiction is a party), or any change in the application or interpretation of such laws or regulations (including
a decision of any court or tribunal) which change or amendment becomes effective on or after August 11, 2022:

 

(a)
in making payment under the Senior Notes the Company has or will or would on the next Payment Date become obligated to pay Additional
Amounts;

 

(b)
the payment of interest on the next Payment Date in respect of the Senior Notes would be treated as a “distribution” within
the meaning of Chapter 2 of Part 23 of the Corporation Tax Act 2010 of the United Kingdom (or any statutory modification or re-enactment
thereof for the time being); or

 

(c)
on the next Payment Date the Company would not be entitled to claim a deduction in respect of such payment of interest in computing its
United Kingdom taxation liabilities (or the value of such deduction to the Company would be materially reduced).

 

In
any case where the Company shall determine that, in accordance with Section 11.08 of the Senior Indenture, it is entitled to redeem the
Senior Notes of this series, the Company shall be required to deliver to the Trustee prior to the giving of any notice of redemption
(i) a written legal opinion of independent United Kingdom counsel of recognized standing (selected by the Company) in a form satisfactory
to the Trustee confirming that the relevant change or amendment has occurred and that the Company is entitled to exercise its right of
redemption and (ii) an Officer’s Certificate, evidencing compliance with such provisions and stating that it is entitled to redeem
the Senior Notes pursuant to the terms of the Senior Notes.

 

The
Company may, at the Company’s option (but subject to, if and to the extent then required by the Relevant Regulator or the Loss
Absorption Regulations, the Company giving notice to the Relevant Regulator and the Relevant Regulator granting the Company permission),
having given not less than 30 nor more than 60 days’ notice to holders, redeem all but not some only of the Senior Notes outstanding
at any time at 100% of their principal amount together with any accrued but unpaid interest to the date of redemption, if immediately
prior to the giving of the notice referred to above, the Company delivers to the Trustee an Officer’s Certificate stating that
a Loss Absorption Disqualification Event has occurred. Any redemption or purchase of Senior Notes (other than redemption on the relevant
maturity date), and any modification to the terms of the Senior Notes or any indenture relating thereto, is subject to, if and to the
extent then required by the Relevant Regulator or the Loss Absorption Regulations, the Company giving notice to the Relevant Regulator
and the Relevant Regulator granting the Company permission therefor and otherwise to compliance with the Loss Absorption Regulations
if and to the extent then required thereunder.

 

    A-29 

     

    

If
the Company elects to redeem the Senior Notes of this series, the Senior Notes will cease to accrue interest from the date of redemption,
provided the redemption price has been paid in accordance with the Indenture.

 

Upon
payment of (i) the amount of principal (and premium, if any) so declared due and payable and (ii) accrued and unpaid interest, all of
the Company’s obligations in respect of the payment of the principal of (and premium, if any), and accrued and unpaid interest
on, the Senior Notes of this series shall terminate.

 

Notwithstanding
any other agreements, arrangements, or understandings between the Company and any Holder or beneficial owner of the Senior Notes, by
purchasing or acquiring the Senior Notes each Holder (including each beneficial owner) of the Senior Notes acknowledges, accepts, agrees
to be bound by and consents to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority that may result in (i)
the reduction or cancellation of all, or a portion, of the principal amount of, or interest on, the Senior Notes; (ii) the conversion
of all, or a portion, of the principal amount of, or interest on, the Senior Notes into shares or other securities or other obligations
of the Company or another person (and the issue to or conferral on the holder of such shares, securities or obligations, including by
means of an amendment, modification or variation of the terms of the Senior Notes); and/or (iii) the amendment or alteration of the maturity
of the Senior Notes, or amendment of the amount of interest due on the Senior Notes, or the dates on which interest becomes payable,
including by suspending payment for a temporary period; any U.K. bail-in power may be exercised by means of variation of the terms of
the Senior Notes solely to give effect to the exercise by the relevant U.K. resolution authority of such U.K. bail-in power. With respect
to (i), (ii) and (iii) above, references to principal and interest shall include payments of principal and interest that have become
due and payable (including principal that has become due and payable at the maturity date), but which have not been paid, prior to the
exercise of any U.K. bail-in power. Each Holder and each beneficial owner of the Senior Notes further acknowledges and agrees that the
rights of the Holders and/or beneficial owners under the Senior Notes are subject to, and will be varied, if necessary, solely to give
effect to, the exercise of any U.K. bail-in power by the relevant U.K. resolution authority.

 

By
purchasing or acquiring the Senior Notes, each Holder and each beneficial owner of the Senior Notes:

 

(i)
acknowledges and agrees that no exercise of the U.K. bail-in power by the relevant U.K. resolution authority in respect of the Senior
Notes shall give rise to a default or an Event of Default for purposes of Section 315(b) (Notice of Default) and Section 315(c) (Duties
of the Trustee in Case of Default) of the Trust Indenture Act;

 

(ii)
to the extent permitted by the Trust Indenture Act, waives any and all claims against the Trustee for, agrees not to initiate a suit
against the Trustee in respect of, and agrees that the Trustee shall not be liable for, any action that the Trustee takes, or abstains
from taking, in either case in accordance with the exercise of the U.K. bail-in power by the relevant U.K. resolution authority with
respect to the Senior Notes; and

 

    A-30 

     

    

(iii)
acknowledges and agrees that, upon the exercise of any U.K. bail-in power by the relevant U.K. resolution authority, (a) the Trustee
shall not be required to take any further directions from Holders or beneficial owners of the Senior Notes under Section 5.12 of the
Senior Indenture, and (b) neither the Senior Indenture nor the Fifteenth Supplemental Indenture shall impose any duties upon the Trustee
whatsoever with respect to the exercise of any U.K. bail-in power by the relevant U.K. resolution authority. Notwithstanding the foregoing,
if, following the completion of the exercise of the U.K. bail-in power by the relevant U.K. resolution authority, any of the Senior Notes
remain outstanding (for example, if the exercise of the U.K. bail-in power results in only a partial write-down of the principal of the
Senior Notes), then the Trustee’s duties under the Indenture shall remain applicable with respect to the Senior Notes following
such completion to the extent that the Company and the Trustee shall agree pursuant to a supplemental indenture or an amendment to the
Fifteenth Supplemental Indenture, unless the Company and the Trustee agree in writing that a supplemental indenture is not necessary.

 

Each
Holder or beneficial owner that acquires its Senior Notes in the secondary market shall be deemed to acknowledge, agree to be bound by
and consent to the same provisions specified in the Indenture to the same extent as the Holders and beneficial owners of the Senior Notes
that acquire the Senior Notes upon their initial issuance, including, without limitation, with respect to the acknowledgement and agreement
to be bound by and consent to the terms of the Senior Notes, including in relation to the U.K. bail-in power.

 

By
purchasing or acquiring the Senior Notes, each Holder and each beneficial owner shall be deemed to have (i) consented to the exercise
of any U.K. bail-in power as it may be imposed without any prior notice by the relevant U.K. resolution authority of its decision to
exercise such power with respect to the Senior Notes and (ii) authorized, directed and requested DTC and any direct participant in DTC
or other intermediary through which it holds such Senior Notes to take any and all necessary action, if required, to implement the exercise
of any U.K. bail-in power with respect to the Senior Notes as it may be imposed, without any further action or direction on the part
of such Holder or beneficial owner or the Trustee.

 

No
repayment of the principal amount of the Senior Notes or payment of interest on the Senior Notes shall become due and payable after the
exercise of any U.K. bail-in power by the relevant U.K. resolution authority unless, at the time that such repayment or payment, respectively,
is scheduled to become due, such repayment or payment would be permitted to be made by the Company under the laws and regulations of
the United Kingdom applicable to the Company and the Group.

 

    A-31 

     

    

Upon
the exercise of the U.K. bail-in power by the relevant U.K. resolution authority with respect to the Senior Notes, the Company shall
provide a written notice to DTC as soon as practicable regarding such exercise of the U.K. bail-in power for purposes of notifying Holders
of such occurrence. The Company shall also deliver a copy of such notice to the Trustee for information purposes only.

 

The
Indenture permits, with certain exceptions as therein provided, the amendment thereof and the modification of the rights and obligations
of the Company and the rights of the Holders of the Senior Notes to be affected thereby by the Company and the Trustee with the consent
of the Holders of not less than a majority in principal amount of the Senior Notes at the time outstanding of each such series. The Indenture
also contains provisions permitting the Holders of a majority in aggregate principal amount of the outstanding Senior Notes, on behalf
of the Holders of all Senior Notes of such series, to waive compliance by the Company with certain provisions of the Indenture and certain
past defaults under the Indenture and their consequences. Any such consent or waiver by the Holder of this Senior Note shall be conclusive
and binding upon such Holder and upon all future Holders of this Senior Note and of any Senior Note issued in exchange herefor or in
lieu hereof, whether or not notation of such consent or waiver is made upon this Senior Note.

 

No
reference herein to the Indenture and no provision of this Senior Note or of the Indenture shall alter or impair the obligation of the
Company, which is absolute and unconditional, to pay, if and when due and payable, the principal of (and premium, if any) and interest
on, this Senior Note at the times, place and rate, and in the coin or currency, herein prescribed.

 

As
set forth in, and subject to, the provisions of the Indenture, no Holder of the Senior Notes will have the right to institute any proceeding
with respect to the Indenture, this Senior Note or any remedy thereunder; provided, however, that such limitations do not apply
to a suit instituted by the Holder hereof for the enforcement of payment of the principal or interest as and when the same shall have
become due and payable in accordance with the terms hereof and the Indenture.

 

No
reference herein to the Indenture and no provision of this Senior Note or of the Indenture shall alter or impair the right of the Holder
of this Senior Note, which is absolute and unconditional, to receive payment of the principal of (and premium, if any) and interest on,
this Senior Note when due and payable in accordance with the provisions of this Senior Note and the Indenture.

 

This
Senior Note is governed by the laws of the State of New York, except for the waiver of set-off provisions relating to the Senior Notes
which are governed by and construed in accordance with the laws of Scotland.

 

Unless
otherwise defined herein, all terms used in this Senior Note which are defined in the Indenture shall have the meanings assigned to them
in the Indenture.

 

    A-32Document

Exhibit 10.3

June 19, 2022
Mr. Dirk Locascio 

Re: Retention Award
Dear Dirk,
Your commitment to and leadership of US Foods have never been more important.
In recognition of your contributions and to help to retain you as our Chief Financial Officer the Company searches for a permanent Chief Executive Officer, the Company has agreed to offer you a retention bonus based on the terms below.
1.    You will become eligible to receive a one-time, lump sum, retention payment in the amount of $1,750,000 (the “Retention Bonus”), less applicable taxes and withholdings, upon the earlier of the following to occur (such earlier date, the “Retention Date”):
·on March 31, 2023, if you remain employed through and including such date or
·if, prior to March 31, 2023, your employment with US Foods is terminated by your death, or by the Company other than for Cause, or your Permanent Disability (each as defined in your Amended and Restated Executive Severance Agreement (“ESA”) with the Company, “Cause,” and “Permanent Disability), upon satisfaction of applicable “Payment Preconditions” described in the ESA
2.In addition, the Company agrees that, in the event your employment is terminated by the Company other than for Cause , the vesting of your equity awards under the US Foods Holding Corp. 2019 Long Term Incentive Plan (the “Plan”) scheduled to occur in March 2023 (to the extent then unvested) will accelerate in full immediately prior to such termination (the “Accelerated Vesting”).
3.Finally, if you remain employed through and including March 31, 2023, and you elect to resign and terminate your employment by giving written notice to the Company at any time from April 1, 2023 through July 10, 2023, which termination shall be effective 45 days after the date of notice (the “Resignation Date”), such termination of employment will be treated for all purposes as a termination of your employment by the Company other than for Cause entitling you to receive the compensation and benefits enumerated in Section 5.2 of your ESA (your “Full Severance”).

The Retention Bonus, if earned, will be payable on a regular payroll date within 30 days of your Retention Date. The Accelerated Vesting, if triggered, will be effective on your last day of employment. Your Full Severance, if earned, will be paid in accordance with your ESA.
The Retention Bonus will not be treated as salary or taken into account for purposes of determining any other compensation or benefits to which you may be entitled. This agreement is intended to be interpreted in a manner consistent with the requirements for avoiding taxes and penalties under Section 409A of the Internal Revenue Code of 1986, as amended, and the regulations thereunder. To the extent that any payment under this agreement is subject to Section 409A, such payment shall be made at such times and in such forms as US Foods may determine are required to comply with Section 409A.
You will be solely liable for all taxes, including Federal, state, local, or foreign income, employment and social security taxes, and penalties that may arise in connection with the Retention Bonus, Accelerated Vesting and Full Severance and US Foods and its affiliates shall not have any obligation to pay such taxes or penalties on your behalf.
This agreement is governed by, and shall be construed in accordance with, the laws of the State of Illinois, without giving effect to its conflict of laws provisions.
This agreement is an amendment to your award agreements under the Plan, which remain in full force and effect as amended. The award agreements, ESA and this agreement contain the entire agreement between you and US Foods with respect to the Retention Bonus, the Accelerated Vesting and your Full Severance. This agreement may not be modified by either party except by a writing signed by both parties.
We request that you acknowledge acceptance of this agreement by signing below and returning a copy to me by June 30, 2022. If you do not sign this agreement by such date, it shall become null and void and you will forfeit your right to receive the Retention Bonus, the Accelerated Vesting and your Full Severance. Please feel free to contact me or Mike O’Malley, if you have any questions.
On behalf of the entire leadership team at US Foods, we look forward to your acceptance of this retention agreement.
Best regards,
/s/ J. David Works
J. David Works
EVP, Chief Human Resources Officer
Accepted By:  /s/ Dirk Locascio       Date: 6/20/2022     
Dirk Locascio

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