Lloyds Banking Group’s non-core impairment charge fell by 42% in the first half of 2012, with bad debts standing at £3.1bn. Lloyds has recovered £1.9bn from non-core property sales in the first six months of the year.
Loan impairment charges for the Corporate Real Estate Business Support Unit fell to £530m, down from £629m in 2011, as Lloyds managed to dispose of assets ahead of schedule, despite challenging market conditions. Lloyds has disposed of a £2.5bn and £2bn worth of UK and Irish commercial real estate assets respectively.
Lloyds posted a pre-tax £439m loss for the first half of the year. The part-nationalised bank has had to put aside £700m for payment protection insurance claims, and is also caught up in the Libor-rigging investigation.
sophia.furber@estatesgazette.com
