August 22, 2014

Lloyds dividend delay sends shares falling

An unexpected delay in the recommencement of a Lloyds dividend sent the bank’s shares tumbling by 3.97pc, closing at 79.99p on Monday.

The bank revealed that its PPI compensation bill continues to rise, with a new announcement revealing that its PPI bill has risen to almost £10bn in total.

However, chief executive Antonio Horta-Osorio revealed that the bank will apply to pay dividends to shareholders in the near future:

 ”It was very important to be considered a normal bank by 2014 and be able to pay a dividend for 2014. The Prudential Regulation Authority is absolutely confident with the bank going forward so, like all other banks, we will apply to them in the second half of the year to pay a dividend.”

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