Lloyds and other lenders set to announce fresh PPI provisions, report claims

(ShareCast News) - Britain's largest lenders are preparing to set aside billions of more pounds for provisions against the payment protection insurance mis-selling scandal, according to reports over the weekend.Insiders from Barclays, HSBC, Lloyds Banking Group, Royal Bank of Scotland and Santander UK told Sky News the banks would reveal at least £5bn in fresh provisions alongside their full-year 2015 earnings.That would come on top of the £27bn already incurred in costs for PPI mis-selling.Some of the sources cited by Sky said the eventual tally for new provisions could be even higher than £5bn.In the case of Lloyds, which had roughly half the market for PPI insurance, the new provisions could reach a further £2.5bn, on top of the £13.9bn already paid out, the report said.The news came amid plans by the Financial Conduct Authority, the sector's regulator, to set a two-year deadline for consumers to claim compensation.