Segmental analysis (Tables)


Year ended 31 December 2025	Retail £m	Commercial Banking £m		Insurance, Pensions and Investments £m		Other £m	Total £m
Underlying net interest income	9,637		3,670		(151)	479	13,635
Underlying other income	2,636		1,825		1,431	228	6,120
Total underlying income	12,273		5,495		1,280	707	19,755
Operating lease depreciation1	(1,445)		(9)		–	–	(1,454)
Net income	10,828		5,486		1,280	707	18,301
Operating costs	(5,807)		(2,853)		(933)	(168)	(9,761)
Remediation	(931)		(27)		(15)	5	(968)
Total costs	(6,738)		(2,880)		(948)	(163)	(10,729)
Underlying impairment (charge) credit	(734)		(60)		(2)	1	(795)
Underlying profit before tax	3,356		2,546		330	545	6,777

External income	15,383		3,499		1,436	(563)	19,755
External operating lease depreciation1	(1,445)		(9)		–	–	(1,454)
Inter-segment (expense) income	(3,110)		1,996		(156)	1,270	–
Net income	10,828		5,486		1,280	707	18,301

Loans and advances to customers2	390,616		90,307		–	540	481,463
External assets	404,882		147,186		218,137	173,867	944,072
Customer deposits	325,169		171,063		–	225	496,457
External liabilities	331,244		211,175		213,520	140,266	896,205

Analysis of underlying other income:
Consumer lending	2,075						2,075
Consumer relationships	561						561
Business and Commercial Banking			543				543
Corporate and Institutional Banking			1,282				1,282
Life, Pensions and Investments					1,018		1,018
General insurance					277		277
Venture capital						462	462
Other					136	(234)	(98)
Underlying other income	2,636		1,825		1,431	228	6,120

Other items reflected in income statement above:
Depreciation and amortisation	2,352		345		193	587	3,477
Defined benefit scheme credit	–		–		–	(37)	(37)
Non-income statement items:
Additions to fixed assets	4,173		242		57	1,851	6,323
Investments in joint ventures and associates at end of year	–		–		–	445	445

1Net of losses on disposal of operating lease assets of £10 million.

2Other includes centralised fair value hedge accounting adjustments.

Note 4: Segmental analysis continued


Year ended 31 December 2024	Retail £m	Commercial Banking £m	Insurance, Pensions and Investments £m		Other £m	Total £m
Underlying net interest income	8,930	3,434		(136)	617	12,845
Underlying other income1	2,354	1,815		1,292	136	5,597
Total underlying income	11,284	5,249		1,156	753	18,442
Operating lease depreciation2	(1,319)	(6)		–	–	(1,325)
Net income	9,965	5,243		1,156	753	17,117
Operating costs1	(5,566)	(2,752)		(924)	(200)	(9,442)
Remediation	(750)	(104)		(19)	(26)	(899)
Total costs	(6,316)	(2,856)		(943)	(226)	(10,341)
Underlying impairment (charge) credit	(457)	14		7	3	(433)
Underlying profit before tax	3,192	2,401		220	530	6,343

External income	13,566	3,981		1,292	(397)	18,442
External operating lease depreciation2	(1,319)	(6)		–	–	(1,325)
Inter-segment (expense) income	(2,282)	1,268		(136)	1,150	–
Net income	9,965	5,243		1,156	753	17,117

Loans and advances to customers3	372,250	87,602		–	5	459,857
External assets4	387,322	148,548		197,309	173,518	906,697
Customer deposits	319,726	162,645		–	374	482,745
External liabilities4	324,730	207,066		193,519	135,494	860,809

Analysis of underlying other income:
Consumer lending	1,810					1,810
Consumer relationships	544					544
Business and Commercial Banking		533				533
Corporate and Institutional Banking		1,282				1,282
Life, Pensions and Investments				979		979
General insurance				229		229
Venture capital					457	457
Other				84	(321)	(237)
Underlying other income	2,354	1,815		1,292	136	5,597

Other items reflected in income statement above:
Depreciation and amortisation	2,303	338		229	556	3,426
Defined benefit scheme charge (credit)	7	2		3	(23)	(11)
Non-income statement items:
Additions to fixed assets	3,485	107		75	1,956	5,623
Investments in joint ventures and associates at end of year	–	–		–	542	542

1In 2025, the Group revised its treatment of certain divisional variable payment related costs. Previously reported within divisional operating costs, these are now included within

divisional underlying other income. Comparative figures have been represented on a consistent basis, with no net impact on segmental profit or loss. Total Group comparatives are

unchanged.

2Net of profits on disposal of operating lease assets of £59 million.

3Other includes centralised fair value hedge accounting adjustments.

4The Insurance, Pensions and Investments operating segment external assets included £5,122 million of disposal group assets and external liabilities included £5,268 million of disposal

group liabilities. Further details are provided in note 24 and note 27.

Note 4: Segmental analysis continued


Year ended 31 December 2023	Retail £m	Commercial Banking £m	Insurance, Pensions and Investments £m		Other £m	Total £m
Underlying net interest income	9,647	3,799		(132)	451	13,765
Underlying other income	2,159	1,691		1,209	64	5,123
Total underlying income	11,806	5,490		1,077	515	18,888
Operating lease depreciation1	(948)	(8)		–	–	(956)
Net income	10,858	5,482		1,077	515	17,932
Operating costs	(5,469)	(2,647)		(880)	(144)	(9,140)
Remediation	(515)	(127)		(14)	(19)	(675)
Total costs	(5,984)	(2,774)		(894)	(163)	(9,815)
Underlying impairment (charge) credit	(831)	511		7	5	(308)
Underlying profit before tax	4,043	3,219		190	357	7,809

External income	12,803	4,570		1,221	294	18,888
External operating lease depreciation1	(948)	(8)		–	–	(956)
Inter-segment (expense) income	(997)	920		(144)	221	–
Net income	10,858	5,482		1,077	515	17,932

Loans and advances to customers2	361,181	88,606		–	(42)	449,745
External assets	376,789	150,834		184,267	169,563	881,453
Customer deposits	308,441	162,752		–	203	471,396
External liabilities	313,244	204,815		179,962	136,067	834,088

Analysis of underlying other income:
Consumer lending	1,553					1,553
Consumer relationships	606					606
Business and Commercial Banking		514				514
Corporate and Institutional Banking		1,177				1,177
Life, Pensions and Investments				966		966
General insurance				171		171
Venture capital					448	448
Other				72	(384)	(312)
Underlying other income	2,159	1,691		1,209	64	5,123

Other items reflected in income statement above:
Depreciation and amortisation	1,927	410		201	367	2,905
Defined benefit scheme charge (credit)	53	21		6	(159)	(79)
Non-income statement items:
Additions to fixed assets	3,294	88		80	1,993	5,455
Investments in joint ventures and associates at end of year	–	–		–	401	401

1Net of profits on disposal of operating lease assets of £93 million.

2Other includes centralised fair value hedge accounting adjustments.

items included in the statutory results. The table below reconciles the statutory results to the underlying basis.


		Removal of:
Year ended 31 December 2025	Lloyds Banking Group statutory basis £m	Volatility, and other items1 £m	Insurance gross up2 £m	Underlying basis £m
Net interest income	13,230	403	2	13,635	Underlying net interest income
Other income	6,192	(326)	254	6,120	Underlying other income
		(1,454)	–	(1,454)	Operating lease depreciation3
Total income	19,422	(1,377)	256	18,301	Net income
Operating expenses3	(11,966)	1,493	(256)	(10,729)	Total costs
Impairment charge	(795)	–	–	(795)	Underlying impairment charge
Profit before tax	6,661	116	–	6,777	Underlying profit


			Removal of:
Year ended 31 December 2024	Lloyds Banking Group statutory basis £m		Volatility, and other items1 £m	Insurance gross up2 £m	Underlying basis £m
Net interest income		12,277	578	(10)	12,845	Underlying net interest income
Other income		5,726	(375)	246	5,597	Underlying other income
			(1,325)	–	(1,325)	Operating lease depreciation3
Total income		18,003	(1,122)	236	17,117	Net income
Operating expenses3		(11,601)	1,496	(236)	(10,341)	Total costs
Impairment charge		(431)	(2)	–	(433)	Underlying impairment charge
Profit before tax		5,971	372	–	6,343	Underlying profit


			Removal of:
Year ended 31 December 2023	Lloyds Banking Group statutory basis £m		Volatility, and other items1 £m	Insurance gross up2 £m	Underlying basis £m
Net interest income		13,298	479	(12)	13,765	Underlying net interest income
Other income		5,331	(447)	239	5,123	Underlying other income
			(956)	–	(956)	Operating lease depreciation3
Total income		18,629	(924)	227	17,932	Net income
Operating expenses3		(10,823)	1,235	(227)	(9,815)	Total costs
Impairment charge		(303)	(5)	–	(308)	Underlying impairment charge
Profit before tax		7,503	306	–	7,809	Underlying profit

1In the year ended 31 December 2025 this comprises the effects of market and other volatility (gain of £72 million, 2024: losses of £144 million, 2023: gain of £35 million); the

amortisation of purchased intangibles (£86 million, 2024: £81 million, 2023: £80 million); restructuring (£46 million of merger, acquisition and integration costs, 2024: £40 million, 2023:

£154 million); and the fair value unwind (losses of £56 million, 2024: losses of £107 million, 2023: losses of £107 million).

2Under IFRS 17, expenses which are directly associated with the fulfilment of insurance contracts are reported as part of the insurance service result within statutory other income. On

an underlying basis these expenses remain within costs.

3Net of losses on disposal of operating lease assets of £10 million (2024: profit of £59 million; 2023: profit of £93 million). Statutory operating expenses includes operating lease