Lloyds shares hold steady as restructuring gets seal of approval

Shares in Lloyds Banking Group held steady at almost 91p this morning following the approval of its restructuring measures by the European Commission.

When Lloyds Banking Group was bailed out by the taxpayer last October, it was on the condition that the Group submit a restructuring plan. The plan will see 100s of branches, including its Cheltenham & Gloucester and TSB brands, go up for sale.

The seal of approval by the EU now means that Lloyds Banking Group can start its capital raising plans, which include a £17.5billion rights issue, and that will allow the Group to reduce the UK Government's share.

Commenting, competition commissioner Neelie Kroes said: "This plan effectively addresses the Commission's competition concerns and at the same time ensures the return of Lloyds Banking Group to long term viability."

Also in approval of the measures set out by Lloyds was Financial Services Secretary to the Treasury, Paul Myners, who said: "The Government's decisive action to support Lloyds and other banks protected the savings of millions of families and the jobs of thousands.

"With the bank now on a more secure footing, we can begin work to make sure Lloyds plays its part in reforming and repairing the banking system for the future," he said, adding:

"The divestments Lloyds will make following today's approval will lead to an important shake-up of the UK Retail banking market."

© Fair Investment Company Ltd
 

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Provider	Account	Rate	Apply
	Investec 5 Year FTSE 100 Income Deposit Plan ISA	4.75%*
	5 year capital protected deposit plan with an annual yield of 4.75% or a monthly yield of 0.38%. The plan can be used for cash ISA investment or cash ISA transfer.
	5 Year Fixed Term Deposit Account	4.55%
	Interest can be paid Annually at 4.55% AER, Quarterly at 4.47% AER or Monthly at 4.45% AER. Minimum Deposit £10,000
	The Royal Deposit Plan	4.00%
	3 year fixed rate deposit plan that returns 4.00% a year. The plan can be used for cash ISA investment or cash ISA transfer.
	18 Month Fixed Rate Bond	3.00%
	18 Month Fixed Rate - 3.00% AER. Open to new and existing customers. Click to learn more.
	ING Direct Savings Account	2.50%
	Rate guaranteed for 12 months from date account opened. Save from just £1.
Exisiting customers only	Natwest E Cash ISA	up to 2.50%
	minimum deposit £1.00. Open to Natwest current account holders only.

* Income payments are dependent upon the FTSE 100 Index.

Provider	Account	Rate	Apply
	5 Year Fixed Term Deposit Account	4.55%
	Interest can be paid Annually at 4.55% AER, Quarterly at 4.47% AER or Monthly at 4.45% AER. Minimum Deposit £10,000
	The Royal Deposit Plan	4.00%
	3 year fixed rate deposit plan that returns 4.00% a year. Minimum investment £3,600.
	18 Month Fixed Rate Bond	3.00%
	18 Month Fixed Rate - 3.00% AER. Open to new and existing customers. Click to learn more.
	Santander 1 Year Fixed Rate Bond	Up to 2.75%
	Available to new and existing customers. Deposit over £1 and receive 2.50% AER, deposit over £10K to 2.75% AER
	1 Year Fixed Term Deposit Account	2.00%
	Minimum Deposit £10,000. 1 year fixed rate bond available to new and existing customers.
Only Available to Nationwide Flex-Account customers	Nationwide E Bond: 6 months	up to 2.25%
	Earn 2.25% AER on balances over £1.

Provider	Account	Rate	Apply
	Tesco Internet Saver	2.75%
	The 2.75% rate shown includes a fixed 1.50% bonus for 12 months on balances up to £100,000.
	Online Saver	2.75%
	The 2.75% rate shown includes a fixed 2.25% bonus for at least 12 months. Open with a minimum deposit of £1,000.
	Direct Transfer Account	2.70%
	Includes a 0.69% bonus payment for the 1st 12 months giving you a return of 2.70% AER. Open from £1,000.
	ING Direct Savings Account	2.50%
	Rate guaranteed for 12 months from date account opened. Save from just £1.
	e-Saver	2.50%
	2.50% includes a 12 month bonus of 2.00%. AER without bonus is 0.50%
	Savings Account 2	2.50%
	2.50% includes a 12 month bonus of 2.00%. AER without bonus rate is 0.50%.
	Instant Saver	2.10%
	2.10% includes a 12 month bonus of 2.00%. AER without bonus is 0.10%
	Lloyds TSB International Bonus Saver	2.01%
	2.01% includes a 12 month bonus of 0.50%. Rate without bonus is 1.50%
Only Available to Nationwide Flex-Account customers	Nationwide E Savings Plus	2.00%
	[No bonus] Available to Nationwide Flex Account holders only. Rate applies where 3 or fewer withdrawals are made each year.
	Online Bonus Saver	0.75%
	0.75% including a 0.50% bonus on months where you don't make a withdrawal. Rate without bonus is 0.25%.

Provider	Account	Rate	Apply
	Investec 5 Year FTSE 100 Income Deposit Plan ISA	4.75%*
	5 year capital protected deposit plan with an annual yield of 4.75% or a monthly yield of 0.38%. The plan can be used for cash ISA investment or cash ISA transfer.
	The Royal Deposit ISA	4.00%
	3 year fixed rate cash ISA that returns 4.00% a year. The plan can be used for cash ISA investment or cash ISA transfer.
	ING Direct Cash ISA	2.50%
	Rate is guaranteed for 12 months. Start saving from just £1.
Exisiting customers only	Natwest E Cash ISA	up to 2.50%
	minimum deposit £1.00. Open to Natwest current account holders only.
	E-Cash ISA	2.10%
	Instant access cash ISA open to new and existing customers.
	Investec FTSE 100 Kick-Out Deposit Plan	Up to 6.75% per year
	Structured deposit plan with two options offering returns of up to 6.75% per year. Potential to kick out after 2 or 3 years depending on the option. Available for Cash ISA and Cash ISA transfer.
	Investec FTSE 100 5 Year Deposit Plan ISA	Growth return of up to 40%
	This 5 year capital protected deposit plan offers a maximum return of 40% at maturity. Available as Cash ISA and Cash ISA transfer.
	Investec FTSE 100 3 Year Deposit Plan ISA	See Details
	This capital protected deposit plan offers a maximum return of 18% at maturity.
	HSBC E Cash ISA	1.75%
	exclusively for HSBC Personal Banking Customers
Existing customers only	Natwest Cash ISA	up to 2.00%
	Minimum deposit £1.00, rates from 0.50% - 2.00% AER. Open to Natwest current account holders only.
Existing customers only	RBS Instant Access Cash ISA	0.55% - 2.00%
	ISA transfers are eligible for additional bonus interest payments. Tiered interest rates. 2.00% AER applied to deposits of £50K+. Open to RBS current account holders only.

* Income payments are dependent upon the FTSE 100 Index

	Product Name	ISA Option	Income Yield	More Info
	FTSE Income Plan - Conditional Income Option		6.50% pa*
	5 Year Structured Income Plan with offering an annual yield of 6.50%
	FTSE Income Plan - Fixed Income Option		5.80% pa
	5 Year Structured Income Plan offering an annual yield of 5.80%.
	Fidelity China Special Situations PLC
	NEW LAUNCH NOW OPEN - To be managed by Anthony Bolton one of the UK's most renowned fund managers who believes the investment opportunity presented by China is just too good to miss. No Initial Charges if you invest by 5th April 2010.
	Schroders Income Maximiser		Click for Details
	The Schroder Income Maximiser Fund ISA aims to deliver a target income yield of 7% pa, also providing potential capital growth. Income is paid quarterly.
	Invesco Perpetual Corporate Bond ISA		6.23%***
	This highly popular fund aims to achieve a high level of overall return with relative security to capital. Income Paid to you twice yearly. Up to 100% Discount off the Standard Initial Fund Charge.
	Artemis Income ISA		5.40%*
	One of the leading UK Equity Income Funds. The Fund managers hunt out companies with strong free cash flow and solid balance sheets. Income is paid to you twice yearly. 100% Discount off the Standard Initial Fund Charge.
	M&G Corporate Bond ISA		4.80%*
	The M&G Corporate Bond Fund is a conservative ‘blue chip’ sterling fund that aims to produce a higher return than UK government bonds. Income is Paid to you Quarterly. 100% Discount off the Standard Initial Fund Charge.
	Invesco Perpetual High Income Fund ISA		4.69%**
	One of the UK's most popular income fund ISAs the Invesco Perpetual High Income has delivered consistently good long term returns through a variety of market conditions. Income is paid to you twice yearly. 100% Discount off the Standard Initial Fund Charge.
	Jupiter Merlin Income Portfolio		4.10%*
	The Jupiter Merlin Income Portfolio fund aims to achieve a high and rising income with some potential for capital growth. Income Distributions are made to you quarterly. 95% Discount Off the Standard Initial Fund Charge.

* Income payments are dependent upon the FTSE 100 Index.
† Guaranteed income payments.

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Please bear in mind that:

• Investment ISAs are designed as medium to long term investments, for example at least five years.
• The value of your investment and the level of any income received from it can fall as well as rise and is not guaranteed and you may not get back the amount of your original investment.
• The tax efficiency of ISAs is based on current tax law and there is no guarantee that tax rules will stay the same in the future.
• The list of funds provided above should not be seen in any way as being a recommendation. No advice has been given and you should be aware that any investment which takes place will be transacted on an “execution only” basis.
• Full details of the funds, including investment performance statistics and risk profile will be provided in the documentation/brochure sent to you and it is up to you to ensure that you fully understand the nature of investment before proceeding. If you are at all unsure of the suitability of the type of investment, both in respect of its objectives and its risk profile, you should seek independent financial advice.
• Any income yield quoted is correct at the time of going to press. Income yields vary and are only estimates. The actual dividend income that you receive will depend upon the income payable by the underlying assets of the fund and could change, either up or down, at any time. Dividend income from an ISA will, under current legislation, be free of UK income tax. Dividend income paid from a fund not held within an ISA will be subject to income tax, which may or may not be reclaimable depending upon your circumstances and the type of investment. In some cases, there may be additional income tax to pay.
• If you choose a fund which invests overseas, there is the addition of “exchange rate” risk which could reduce any gains or increase losses if the currency moves against you.

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