RE: Lloyds boss Charlie Nunn paid £5.5million for six months’ work24 Feb 2022 11:26
The chief executive of Lloyds Banking Group has unveiled an ambitious strategy for the lender, pledging to spend £4bn over five years on sectors such as wealth management, technology and private rentals. Former HSBC executive Charlie Nunn hopes to reverse more than a decade of retrenchment at the bank, with three-quarters of the £4bn to be spent building a wealth management offering targeting wealthy clients, digitising SME banking and focusing on corporate customers. “2021 has been a year of solid financial performance with successful strategic execution, ongoing investment and continued franchise growth,” said Nunn, who became chief executive in August. His strategy was unveiled on Thursday, alongside Lloyds’ fourth-quarter results where it reported slightly weaker than expected pre-tax profit for 2021, weighed down by remediation costs. Shares were down 8 per cent in morning trading, although they are up more than 20 per cent over the past year, as economic reopenings and rising inflation have augured a shift from growth stocks to value stocks including financials. The bank posted pre-tax profit of £968mn, an improvement on the £792mn in the same period last year but 30 per cent below consensus estimates. For the full year, Lloyds reported pre-tax profits of £6.9bn, 4 per cent below forecasts. Quarterly revenues of £4.1bn, buoyed by rising interest rates and the improving economic outlook, were offset by £2.8bn in costs — 25 per cent above analysts’ estimates — driven by charges including £600mn related to historical fraud at HBOS, which is owned by Lloyds. Its results were also boosted by the release of £1.2bn of provisions that the lender had taken against bad loans, in line with projections
https://www.ft.com/content/a42a0831-09b3-46bd-9125-367a394ddd10
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