v3.26.1
Basis of preparation and accounting policies
6 Months Ended
Jun. 30, 2026
Disclosure Of Basis Of Preparation And Significant Accounting Policies [Abstract]  
Basis of preparation and accounting policies Note 1: Basis of preparation and accounting policies
These condensed consolidated half-year financial statements as at and for the period to 30 June 2026 have been
prepared in accordance with International Accounting Standard 34 (IAS 34), Interim Financial Reporting as issued
by the International Accounting Standards Board (IASB) and comprise the results of Lloyds Banking Group plc (the
Company) together with its subsidiaries (the Group). They do not include all of the information required for full
annual financial statements and should be read in conjunction with the Group’s consolidated financial statements
as at and for the year ended 31 December 2025 which were prepared in accordance with International Financial
Reporting Standards (IFRS) as issued by the IASB. Copies of the 2025 annual report on Form 20-F are available on
the Group’s website. Terminology used in these condensed consolidated half-year financial statements is
consistent with that used in the Group’s 2025 annual report on Form 20-F.
The directors consider that it is appropriate to continue to adopt the going concern basis in preparing these
condensed consolidated half-year financial statements. In reaching this assessment, the directors have taken into
account the uncertainties affecting the UK economy and their potential effects upon the Group’s performance and
projected funding and capital position; the impact of further stress scenarios has also been considered. On this
basis, the directors are satisfied that the Group will maintain adequate levels of funding and capital for the
foreseeable future.
The Group’s accounting policies are consistent with those applied by the Group in its financial statements for the
year ended 31 December 2025 and there have been no changes in the Group’s methods of computation.
The IASB has issued its annual improvements and a number of amendments to the IFRS Accounting Standards
effective 1 January 2026, including Amendments to IFRS 9 Financial Instruments and Amendments to IFRS 7
Financial Instruments Disclosure. These improvements and amendments have not had a significant impact on the
Group.
Future accounting developments
There are a number of new accounting pronouncements issued by the IASB with an effective date of 1 January
2027, including IFRS 18 Presentation and Disclosure in Financial Statements which replaces IAS 1 Presentation of
Financial Statements. While many of the existing requirements of IAS 1 Presentation of Financial Statements are
retained, IFRS 18 Presentation and Disclosure in Financial Statements introduces additional disclosure obligations
in relation to the structure of the income statement, management-defined performance measures, and the
aggregation and disaggregation of financial information. IFRS 18 will have no impact on the Group’s net profit as it
impacts neither recognition nor measurement. The new standard will impact the presentation of the Group’s
results as it requires that operating, investing and financing activities are presented separately. There will also be a
change in the Group’s cash flow statement as IFRS 18 requires that the first line of the cash flow statement is
operating profit rather than profit before tax.
Related party transactions
The Group has had no significant related party transactions during the half-year to 30 June 2026. Related party
transactions for the half-year to 30 June 2026 are similar in nature to those for the year ended 31 December 2025.
Full details of the Group’s related party transactions for the year ended 31 December 2025 can be found in the
Group’s 2025 annual report on Form 20-F.