Lloyds has appointed a former Conservative party treasurer days before the government is expected to sell the last of its stake in the bailed out UK bank.
The UK’s biggest lender said in a statement on Tuesday Lord Lupton had been appointed chairman of its non-ring fenced bank, joining the bank’s main board as a non executive.
The government is set to sell its remaining stake in Lloyds Bank, now down to 0.89 per cent, within the coming fortnight.
Chancellor Philip Hammond said last month the government had finally broken even on its stake in the bailed-out bank, having recovered more than £20.3bn in dividends and share sales.
The non-ring fenced division is responsible for its wholesale operations and was a structure set up as part of the Vickers reforms of UK banking to shield taxpayers and ordinary depositors from a future financial crash.
Lord Lupton is the second Conservative peer on the lender’s main board, joining Lord Blackwell, the Brexit-supporting Lloyds chairman.
Commenting on the appointment, Lord Blackwell said:
I am delighted to welcome James to the group, bringing not just his experience of UK Banking and Capital markets, but also his extensive corporate advisory experience which will be of particular value to our overall Commercial Banking activities. We look forward very much to working with him both on the Group Board and in establishing strong governance and risk management for our Non Ring-fenced Bank.
Lord Lupton, a lawyer by training, co-founded Greenhill, the corporate advisory firm and is a former deputy chairman of the international operations of collapsed British bank Baring Brothers.