Lloyds Reports Improved Economic Outlook and Lower Loan Defaults

UK's largest mortgage lender sees economic resilience and reduced bad debt provisions despite earnings dip.

Lloyds forecasts UK economy to grow by 0.8% in 2024, doubling previous estimates.
Loan defaults and bad debt provisions dropped significantly, with only £44m set aside for bad debts in Q2.
Pre-tax profit rose 5% to £1.7bn in the second quarter, despite a 9% drop in net interest income.
The bank's balance sheet expanded with an additional £2.7bn in customer loans and £4.9bn in deposits.
Strategic cost-saving measures aim to save £1.2bn and generate an extra £700m in income.