Lloyds chief in plea to avoid a forced break-up

LLOYDS Banking chief Eric Daniels yesterday warned that forcing a break-up of the bank with its 30 per cent plus share in several retail markets would be a mistake.

There is mounting speculation that Sir John Vickers independent commission, set up by the coalition government after the election, could force Lloyds to unwind its controversial takeover of rival HBOS.

The commission will make its final recommendations next September, but an interim report is due out in the Spring. “Concentration does not lead to competitive outcomes. Concentration allows for safety and stability,” he told the Daily Mail.

Daniels has asked the coalition to stick by Labour’s pledge to keep the bank intact.