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* 10 out of 12 analysts forecast dividend resumption
* Bank hopes to pay first dividend in 6-and-a-half years
* Decision expected alongside Lloyds' full-year results
* Analysts on average forecast payout of 1.24 pence pershare (Repeats to fix formatting. No change to text)
By Matt Scuffham
LONDON, Dec 17 (Reuters) - Lloyds Banking Group isexpected to win permission from Britain's financial regulator topay its first dividend since it was bailed out by taxpayers,according to 10 out of 12 analysts polled by Reuters.
The majority of analysts believe Lloyds' narrow passing ofthe Bank of England's (BoE) debut annual industry "stress test"on Tuesday has strengthened its case for paying a dividend forthe first time since its 20.5 billion pounds ($32 billion)government rescue during the financial crisis of 2007 to 2009.
Some analysts had expected Lloyds to be vulnerable in thetest, because of its heavy exposure to British home loans.However, it was found to hold core capital of 5 percent ofrisk-weighted assets under the adverse test scenarios, ahead ofthe 4.5 percent pass mark.
"While the headline figure of 5 percent might concern some,we don't think it takes away from the dividend story," saidExane analyst Tom Rayner.
The BoE tested how resilient Britain's biggest eight lenderswould be in the face of a slump in house prices and higherinterest rates.
Lloyds has been in talks with the regulator for severalmonths seeking permission to make a modest payout for the 2014financial year. It hopes to be able to make an announcementalongside its full-year results in February.
Resuming dividends could make it easier for the governmentto sell its remaining 25 percent shareholding in the bank.
Analysts on average forecast Lloyds will pay a 2014 dividendof 1.24 pence per share, according to Thomson Reuters data.
"We see the stress test results as clearing the last majorhurdle for the Lloyds dividend to be switched back on," saidanalysts at Morgan Stanley.
However, a minority of analysts remain sceptical aboutLloyds' chances of paying a dividend, saying the regulator willbe deterred by how close Lloyds came to failing the test.
"We believe that expectations that Lloyds will commence adividend this year are misplaced," said Jefferies' JosephDickerson.
Dickerson's opinion was backed up by a senior banker whotold Reuters he believed Lloyds was "further away from paying adividend" as a result of the stress test result.
Lloyds' executives had anticipated a close passing of theBoE's test because it was focused on UK home loans. The bank hasthe biggest residential mortgage book of any UK lender.
($1 = 0.6369 pounds) (Editing by David Holmes and Mark Potter)
