Lloyds Banking Group posts profit rise, lifts dividend as share price wavers

Lloyds Banking Group reported full‑year 2025 pre‑tax profit of £6.7 bn, a 12% increase over the previous year, and raised its ordinary dividend 15% to 3.65 p per share. The bank also announced a £1.75 bn share‑buyback programme to run until the end of 2026, with £731 m already returned as the interim dividend.

Despite the stronger earnings, Lloyds’ share price has struggled to stay above the £1.00 level, slipping back after brief peaks near 115 p. Analysts cite the bank’s exposure to the UK housing market and broader economic uncertainty as factors dampening price momentum, although they note the bank’s solid CET1 ratio of 13.4% and improving net interest income.