Lloyds’ shares rise above break-even level, raising hopes for sell-off of taxpayers’ stake
The prospect of the Government getting rid of its stake in Lloyds moved closer yesterday as shares in the bank broke the level set as the break-even price for taxpayers.
Lloyds' shares rose 1.93p, or 3 per cent, to 62.84p, above the 61.2p the Treasury said earlier in the year would be the threshold for breaking even.
However, it is believed that a sale of the taxpayers' 39 per cent stake will not be considered by the Government until Lloyds manages to trade consistently above the level.
Lloyds' share price has more than doubled over the past year, and yesterday's rise came in the wake of soothing words from its chief executive Antonio Horta-Osorio, who told shareholders at its annual meeting in Edinburgh on Thursday that the bank expected to return to profit this year. That would be its first full-year profit since 2010.
"It's a big trade-off between returning the shares to the markets as quickly as possible (well before the 2015 election anyway), and taking the opportunity to make up for some of the costs taxpayers incurred via forced bailouts," said Accendo Markets' head of research Mike van Dulken.
Shares in the other taxpayer-owned bank Royal Bank of Scotland also rose yesterday, by 18p to 336.8p, although it is still far off the average price of 502p the Government paid.
- 1 Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
- 2 Russian girl takes her own life after parents find pornography on her computer
- 4 Ball pool for adults opens in London
- 5 Amal Clooney gives excellent response to fashion question at European Court of Human Rights
Russian girl takes her own life after parents find pornography on her computer
Kim Kardashian on Bruce Jenner's 'story': 'We support him no matter what, and I think when the time is right, he'll talk'
Michelle Obama highlights harsh restrictions faced by Saudi women after meeting King Salman without wearing a headscarf
Ball pool for adults opens in London
Amal Clooney gives excellent response to fashion question at European Court of Human Rights
9 reasons Greece's experiment with the radical left is doomed to failure
'We would evict Queen from Buckingham Palace and allocate her council house,' say Greens
Greece elections: Syriza and EU on collision course after election win for left-wing party
Have we reached 'peak food'? Shortages loom as global production rates slow
British Muslim school children suffering a backlash of abuse following Paris attacks
British grandmother Lindsay Sandiford faces execution by firing squad in Indonesia
iJobs Money & Business
£13000 per annum: Recruitment Genius: This Pension Specialist was established ...
£23000 - £26000 per annum + Benefits: Ashdown Group: Market Research Executive...
£25000 - £35000 per annum: Recruitment Genius: A Technical Report Writer is re...
Competitive salary & benefits!: MBDA UK Ltd: MBDA UK LTD Indirect Procurement...