Lloyds Bank Profits


Book Reviewer
So Lloyds Bank, which is 41% owned by the Taxpayer, has made a 6 monthly pre-tax profit of £1.6Bn. Not bad, better than the losses reported over previous periods.

So, should (do?) we as investors, get 41% (plus interest at Lloyds Business lending rate) back paid back to us?
Well, under the risk/reward argument that justified massive bonuses all these years, it'd only be fair.

But since this is banking we're talking about, I strongly suspect we can go **** ourselves.


It is good news that the banks seem to be on the up, profits means they pay more tax as well as pulling the economey along. However with all the money pumped into them I assume they are paying this much needed money back?
The Govt gets the same as any other shareholder, this being:

Dividends: although none will now be paid, under EU rules, until 2012
Capital growth: although the share price is currently less than that paid by the Govt thereby indicating a loss if shares cashed in now.

Dividends + rising share price = interest. Why would they be entitled to anything else?
basicly the banks own us like the communist party owned russian citizens.. ie no arguments, we are the elite, you have no choice but to support us, you cannot opt out or let us fail, or the system will collapse and there will be anarchy. its this fear of social collapse which holds us in thrall to them, and they know it.
R4 said this morning that if the Govt cashed in all the shares it'd bought in the banks, Treasury would make a profit of £7bn. I haven't seen/worked out the proof of that and R4 does have a tendency to overplay Brown's economic acumen, but I've no other reason to doubt.
They need to make profits in order to claw back historic losses they got clobbered with as a result of being stupid enough to listen to The Emperor Mong:

"Go on, you know that if Gordon Brown asks you to bail out yet another bust Scottish bank/Mortgage Lender whose main processing centre is in his constituency without proper due diligence there cannot be anything to worry about! It must all be true!"

Thus, they will pay back the dosh the UK Govt. bailed them out with and increase lending to business. Hurrah!

Of course the soon to be Bank Levy might take a lot of those profits away, but never mind that.