Treasury takes control of Lloyds

Link to the article: Channel 4

Last Modified: 07 Mar 2009
By: Faisal Islam

British taxpayers own another struggling bank tonight after the Government took a controlling stake in the Lloyds banking group. It also agreed to underwrite £260bn in toxic assets.

Under a deal agreed late last night, the Treasury will now own 65 per cent of the company.

Meanwhile Lloyds has been ordered to provide £28bn in new mortgage and business lending over the next two years, to help boost the economy.