Government raises £500m from sale of stake in Lloyds
The sale moves Lloyds another step towards a full return to private ownership after the Government pumped £20bn into the Halifax owner during the financial crisis of 2007 to 2009, leaving it with a 41 per cent shareholding. UK Financial Investments (UKFI), which manages the public stakes in bailed out banks, hired Morgan Stanley in December to sell Lloyds shares on the stock market through a “pre-arranged trading plan”.
The sales since made by Morgan Stanley, all at a price above the 73.6 pence average price that the Government paid, have taken the stake down to 23.9 per cent from 24.9 per cent when the trading plan was launched.
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Hide AdThey also take the total amount raised by the Government so far from selling down its stake in Lloyds to just under £8bn.
“This is further progress in returning Lloyds Banking Group to private ownership, reducing our national debt and getting taxpayers’ money back,” said Chancellor George Osborne.
UKFI had previously raised £7.4bn through two separate sales to financial institutions.
Lloyds is one of the largest private sector employers in Yorkshire.