Bleak macro view pushes Lloyds’ ECL over £5bn

The Covid-19 outbreak darkened Lloyds’ economic forecasts, imposing a £1.4 billion ($1.7 billion) impairment charge in the first quarter and forcing the bank to revise its expected credit losses (ECL) up 25% on end-2019.

The Q1 provision wiped out almost three-quarters of Lloyds’ earnings – and further impairment charges are likely. In updating its forward-looking scenarios for estimating loan losses, the bank’s ECL amount jumped up £1 billion on end-2019. This figure reflects the probability

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: