Lloyds returns to profit; eyes orphaned IFA clients

Lloyds Banking group is back in the black after announcing a pre-tax profit of £2.1bn for the six months to the end of June - and said it is on course to target IFA clients "orphaned" by RDR.

The H1 profit compares with a loss of £456m for the same period last year. The bank said it had made substantial progress on strengthening its balance sheet, although "further work remains to be done". But the progress could pave the way for the bank's return to the dividend register and a sale of part of the government's 39% stake in the bank. Lloyds said this morning it expects to begin discussions with regulators in the second half of 2013 on the "timetable and conditions for dividend payments". The improving balance sheet comes despite the bank setting aside a further £500m ...