View more on these topics

Lloyds shareholders claim bosses knew HBOS rigged Libor before takeover

Lloyds Banking Group shareholders are claiming Lloyds TSB bosses knew HBOS was manipulating Libor rates when it recommended the takeover of the troubled bank.

According to the Scotsman, shareholder campaign group Lloyds Action Now has instructed lawyers to include the allegation in its claim against Lloyds.

The Scotsman says figures show that during the financial crisis, Royal Bank of Scotland and HBOS regularly submitted lower borrowing costs than banks with stronger balance sheets including Barclays, JPMorgan Chase and HSBC.

LAN chairman Andrew Watson told the Scotsman: “HBOS pretended that it was able to borrow money from other banks on an unsecured basis at rates more favourable than, for instance, HSBC Bank could.

“Lloyds TSB directors closed their eyes to this, did not disclose the true position and even hid the fact HBOS had received massive secret loans to keep it afloat in the run up to the 

A Lloyds spokesman says: “As with many others in the 
sector, the group is assisting various regulators in their ongoing investigations into the setting of Libor. Until these investigations are completed, it would be inappropriate for us to comment any further.”


News and expert analysis straight to your inbox

Sign up


There is one comment at the moment, we would love to hear your opinion too.

  1. I have been trying to get some information about the progress of the claim so far.
    Can you please help?

Leave a comment


Why register with Money Marketing ?

Providing trusted insight for professional advisers. Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and thought leadership.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm