Lloyds Banking Group has slashed a further £6.8bn from its exposure to soured UK commercial real estate.
In its annual results the ?lender said that its non-core corporate real estate ?business support unit portfolio reduced from £15.7bn to £8.9bn during 2013.
In Europe its troubled CRE loan balance fell from £3.7bn to £700m.
The reduction was “significantly ahead of expectations” as it continues to deleverage through consensual asset sales by customers, loan sales and asset disposals, which totalled £7.4bn (net book value) in the year.
The bank also reduced its losses on the loans from £1.5bn in ?2012 to £522m last year.
Bridget.O’Connell@estatesgazette.com
