Lloyds Sticks to Full-Year Targets After One-Off Impairments

  • Bad loans rose with a single large corporate impairment
  • U.K. lender increased targets for capital generation
Photographer: Luke MacGregor/Bloomberg
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Lloyds Banking Group Plc, Britain’s largest mortgage lender, is on track to meet its full-year targets and insisted that a quarterly rise in impairments isn’t a sign of a deeper trend.

Bad loans rose by almost a third to 270 million pounds ($355 million) in the three months ended Sept. 30 from a year ago, because of a “single large corporate impairment,” and its acquisition of MBNA’s U.K. credit-card business, the London-based bank said in a statement Wednesday. That “doesn’t reflect anything regarding an underlying trend," George Culmer, chief financial officer said on a call with reporters.