Lloyds profits rise but total PPI bill tops £8bn

Lloyds Bank has reported growing profits for the first nine months of the year as it starts down the path to reprivatisation, but continues to suffer from the impact of ongoing PPI claims.

The bank’s statutory pre-tax profit was £1.7bn for the first nine months of the year, compared to a loss of £607m for the same period in 2012. However, it posted a pre-tax loss of £440m for the third quarter, compared to a pre-tax loss of £151m for Q3 2012. The £1.7bn figure includes another £750m charge for legacy PPI business, as Lloyds said claims has fallen at a slower rate than it expected. It takes the total the bank has set aside for payment protection insurance (PPI) mis-selling claims to more than £8bn. The bank reported underlying profit increased by 136% to £4.43bn in ...