Lloyds share price today: around 94p after a huge 2025 rally
Lloyds Banking Group (LSE: LLOY) shares finished Thursday 11 December 2025 just under the 94p mark, slipping slightly after one of the strongest 12‑month runs of any FTSE 100 bank.
Real‑time pricing data shows Lloyds trading at about 94.10p, down roughly 0.8% on the day, in a range of 93.10p to 94.26p, with a 52‑week range of 52.44p to 97.74p. [1]
Closing data from Hargreaves Lansdown shows a buy price of 93.86p at the close on 11 December, compared with a previous close of 94.84p, implying a daily fall of around 1%. The broker reports a market capitalisation of about £55.1bn, a price/earnings ratio of 19.36 and a historic dividend yield of roughly 3.38% at this level. [2]
MarketScreener’s real‑time quote has Lloyds at 94.09p, with year‑to‑date gains of about +72% and a five‑day pullback of just over 3%, underlining how modest today’s move is in the context of a powerful 2025 rally. [3]
Key Lloyds share price stats (11 December 2025)
- Latest price: ~94p per share (LSE: LLOY) [4]
- Daily move: roughly ‑1% vs yesterday’s close [5]
- Day’s trading range: about 93.1p – 95.3p [6]
- 52‑week range:52.44p – 97.74p [7]
- Market value: ~£55bn [8]
- 1‑year performance: around +80% (79.15% on HL data) [9]
- Historic dividend yield: about 3.3–3.4% [10]
In other words, Lloyds is pausing for breath near multi‑year highs after an exceptional year for the stock.
What moved the Lloyds share price today?
1. Quiet FTSE 100 session, modest underperformance
UK equities traded broadly sideways on Thursday, with the FTSE 100 little changed and many large‑cap names drifting rather than trending. Market commentary from intraday index reports described the blue‑chip benchmark as “steady” or “flat,” with only small sector moves. [11]
Within that context, Lloyds underperformed slightly, slipping around 1%. That is a continuation of gentle profit‑taking after a sharper near‑2% drop on Wednesday 10 December, when investors reacted to renewed headlines around the UK motor‑finance mis‑selling scandal and slowing upside momentum after the bank’s strong year‑to‑date run. [12]
2. Car‑finance scandal still casting a shadow
The main structural headwind for Lloyds remains the evolving motor finance redress situation.
- In October, Lloyds booked an additional £800m provision, taking its total motor‑finance charge to about £1.95bn. [13]
- That charge contributed to a 36% drop in third‑quarter pre‑tax profit year‑on‑year, according to Q3 2025 results and subsequent coverage. [14]
- The UK Financial Conduct Authority (FCA) has now confirmed it will lift the pause on handling motor finance complaints on 31 May 2026, as it finalises a large‑scale redress scheme covering potentially millions of historical car loans. [15]
Commentary from regulators and industry analysts suggests the overall industry bill could run into the multi‑billion‑pound range, with Lloyds – the UK’s largest car lender through its Black Horse division – likely to shoulder a substantial part of the cost. [16]
While today’s move is small, traders remain sensitive to any new information about the final design, cost and timing of the FCA’s redress scheme.
3. A “winner’s curse” after a 70–80% surge
Several recent opinion pieces have flagged the risk that Lloyds’ stellar 2025 performance leaves limited short‑term upside:
- One widely read analysis notes that Lloyds shareholders have effectively enjoyed “around 10 years’ worth of average stock‑market gains” in a single year, and questions whether the shares could now be vulnerable to a setback in 2026. [17]
- Another forecast piece points out that the explosive share price rise has compressed the trailing dividend yield to just over 3%, with projections for that yield to climb only gradually to around 3.75% in 2025 and 4.3% in 2026 as payouts grow. [18]
Against that backdrop, even small negative headlines – particularly around regulation – can trigger bouts of profit‑taking in a stock that has already delivered so much in 2025. [19]
The latest Lloyds news investors are watching
Although the share price drifted lower today, there has been a flurry of positive strategic and corporate updates around Lloyds in recent days that help frame the investment case.
1. Lloyds joins UK Retail Investment Campaign
On 11–12 December, Lloyds Banking Group confirmed it has joined 17 other major financial firms – including global banks, platforms and wealth managers – to launch the UK Retail Investment Campaign, a multi‑year initiative aiming to encourage more Britons to invest for the long term. [20]
The campaign, backed by HM Treasury, the FCA and the Money and Pensions Service, will launch in April 2026. Lloyds highlighted its scale and reach across brands such as InvestWise and Ready‑Made Investments as a way to make investing more accessible, particularly for younger and first‑time investors. [21]
For shareholders, this push reinforces Lloyds’ strategy to grow fee‑based wealth and investment income alongside traditional lending.
2. £4.8bn pension de‑risking via longevity swaps
Lloyds Bank’s pension schemes have executed three longevity swap transactions, transferring around £4.8bn of pension liabilities to reinsurers. [22]
Specialist reinsurance coverage notes that UK longevity swap volumes are running at a record pace in 2025, with the Lloyds deals contributing to an estimated £31bn of UK transactions this year. [23]
For investors, these transactions reduce longevity risk in the group’s pension obligations and can help stabilise capital requirements over time.
3. New Chief Investment Officer from Aviva Investors
On 10 December, industry press reported that Peter Fitzgerald, formerly Chief Investment Officer for multi‑asset & macro at Aviva Investors, is leaving after 14 years to become CIO at Lloyds Banking Group. [24]
- Fitzgerald will oversee investment strategy and fund management across Scottish Widows and the recently acquired Schroders Personal Wealth business. [25]
- He replaces Kevin Doran and brings more than 25 years’ experience in multi‑asset investing and macro strategy. [26]
This appointment is seen as a vote of confidence in Lloyds’ ambition to grow its pensions, insurance and wealth franchises – areas that can diversify earnings away from pure UK retail banking. [27]
4. Completion of £1.7bn share buyback
Lloyds has completed a £1.7bn share repurchase programme, according to recent regulatory filings and company announcements. [28]
Combined with ordinary dividends – including a 2.11p final dividend paid in May 2025 – this underscores the bank’s commitment to returning surplus capital to shareholders, even as it absorbs motor‑finance charges. [29]
Buybacks shrink the share count, supporting earnings per share and frequently providing a floor under the share price during market pullbacks. [30]
5. Executive share incentive plan activity
A fresh Director/PDMR Shareholding filing dated 9 December shows multiple senior executives – including the CEO of Insurance, Pensions & Investments and the Chief Legal Officer – acquiring Partnership Shares and Matching Shares under Lloyds’ Share Incentive Plan at around 95.7p per share. [31]
TipRanks summarises this as Lloyds “aligning executive interests with shareholder value,” noting that the share awards are part of a longer‑term programme tying pay to the group’s market performance. [32]
While the volumes are modest, such purchases are often interpreted as a soft vote of confidence from management in the bank’s prospects.
6. Digital innovation: AI and blockchain in homebuying
The Financial Times recently highlighted Lloyds Bank’s push to use artificial intelligence and blockchain to transform the UK homebuying process, including ideas such as tokenised deposits and more automated workflows to speed up property transactions. [33]
Although full details sit behind a paywall, the reporting underlines Lloyds’ strategy to stay at the forefront of digital banking and mortgage innovation – a key differentiator in a fiercely competitive UK market.
2025 performance in context: profits, provisions and regulation
Even after today’s dip, Lloyds shares are up roughly 80% over the past 12 months, and more than 100% over three years, according to long‑term performance data. [34]
This rally has been powered by:
- Higher interest rates, which expanded net interest margins earlier in the year. [35]
- Consistently solid underlying returns on tangible equity, which Lloyds still targets at around 12% after cutting guidance in October. [36]
- Strong capital generation, allowing for sizeable dividends and buybacks even after motor‑finance provisions. [37]
At the same time, the bank has had to navigate:
- A £1.95bn total provision so far for motor‑finance redress. [38]
- A 36% drop in Q3 2025 pre‑tax profit versus a year earlier. [39]
- Ongoing uncertainty over the final size and design of the FCA’s compensation scheme, which could influence capital planning and future distributions. [40]
For now, management stresses that the current provision represents its “best estimate” of the impact based on what is known, while emphasising that the core franchise – spanning retail, commercial banking and insurance/wealth – remains profitable and well‑capitalised. [41]
Lloyds share price forecasts: what analysts are saying in December 2025
Analyst and data‑provider views are constructive but more measured after the share price surge.
Consensus price targets
Investing.com’s consensus data for 18 analysts shows: [42]
- Overall rating:Buy
- Breakdown: 12 Buy, 6 Hold, 0 Sell
- Average 12‑month price target:95.89p
- Implied upside vs ~94p today: about +1.9%
- Target range:53p (low) to 110p (high)
MarketScreener reaches a similar conclusion, with:
- Mean consensus:“Outperform”
- Average target price:95.89p, just over 1% above the last close of 94.84p. [43]
Taken together, mainstream broker research now points to modest upside rather than a deep value opportunity at current levels.
Individual broker calls
Recent rating actions compiled by Investing.com include: [44]
- Goldman Sachs: Buy, price target 110p
- Morgan Stanley: Buy, price target 110p
- Deutsche Bank: Buy, price target 100p
- JPMorgan: Hold, price target 102p
- Citi: Hold, price target 97p
Meanwhile, TipRanks highlights a most recent analyst rating of “Buy” with a £108 target, and its AI‑driven “Spark” model scores the stock as “Outperform”, citing strong technicals and positive earnings‑call sentiment, albeit with some concerns around cash flow and leverage. [45]
Retail‑investor commentary
Motley Fool‑branded columns (syndicated across Yahoo Finance and The Motley Fool UK) show a split tone:
- Some writers argue that, even after 2025’s rally, rising dividends could lift total returns, with forecasts for the dividend yield to move back towards 4–4.5% by 2026. [46]
- Others worry that the share price has already delivered a decade’s worth of returns and could be vulnerable if the UK economy slows or motor‑finance costs surprise on the upside. [47]
There is also a lighter‑hearted but widely shared article in which an investor “asks ChatGPT” whether it’s too late to buy Lloyds shares – a sign of how the stock has moved from contrarian to mainstream retail favourite in 2025. [48]
Valuation and dividend profile
At around 94p, Lloyds trades on:
- Price/earnings: about 19x trailing earnings (based on HL data). [49]
- Historic yield: roughly 3.3–3.4%, after a 2.11p final dividend for 2024/25 and a 1.06p interim in 2024. [50]
That yield is lower than in the years when the share price languished in the 40–50p range, but analysts still expect:
- Dividend growth in line with earnings over the next couple of years. [51]
- A forward yield climbing back towards 4%+ by 2026 if payouts rise and the share price consolidates. [52]
Importantly, Lloyds combines these cash returns with:
- An ongoing share buyback programme (most recently £1.7bn completed). [53]
- A strong common equity Tier 1 (CET1) ratio of around the mid‑teens, even after provisions, according to recent results presentations. [54]
For income‑oriented investors, that mix of solid – if not spectacular – yield plus buybacks remains a key part of the Lloyds story.
Key risks to watch
Despite today’s relatively quiet session, several medium‑term risks could sway the Lloyds share price from here:
- Motor‑finance redress bigger than expected
- UK macroeconomic sensitivity
- Interest‑rate cycle turning
- As markets look ahead to potential Bank of England rate cuts in 2026, net interest margins could compress from peak levels, particularly in highly competitive mortgage and savings markets. [59]
- Regulatory and political risk
- Beyond motor finance, UK banks continue to face scrutiny on conduct, capital and taxation, with periodic debates over windfall taxes or tougher capital rules. [60]
- Execution on strategy and digital transformation
- Initiatives such as the AI‑ and blockchain‑driven homebuying platform and expansion in wealth management must deliver tangible revenue and cost benefits to justify ongoing investment. [61]
What today’s Lloyds share price means for investors
Putting everything together:
- Today’s move – a roughly 1% dip to just under 94p – looks more like consolidation after a remarkable 2025 than a decisive change in trend. [62]
- The fundamental story remains a blend of:
- strong capital returns and a rising but still moderate dividend;
- solid underlying profitability;
- and a sizeable, but currently provisioned, regulatory overhang from motor finance. [63]
- Analyst consensus now implies only low‑single‑digit upside from current levels, with target prices clustered in the mid‑90p to 110p range – reflecting a market that sees Lloyds as fairly valued to modestly undervalued, rather than deeply cheap. [64]
For existing shareholders, that may translate into an expectation of steady income and buybacks rather than another explosive rerating. For potential investors, the key questions after today’s price action are likely to be:
- How confident am I that motor‑finance costs are now contained?
- Do I believe Lloyds can grow earnings in a lower‑rate environment while maintaining or increasing capital returns?
- And am I comfortable with a UK‑centric, economically sensitive bank at this stage of the cycle?
As always, this article is information, not advice. Anyone considering buying or selling Lloyds shares should assess their own risk tolerance, time horizon and tax situation, and, if needed, seek regulated financial advice.
References
1. www.investing.com, 2. www.hl.co.uk, 3. www.marketscreener.com, 4. www.investing.com, 5. www.hl.co.uk, 6. www.hl.co.uk, 7. www.hl.co.uk, 8. www.hl.co.uk, 9. www.hl.co.uk, 10. www.hl.co.uk, 11. www.tradingview.com, 12. coincentral.com, 13. www.reuters.com, 14. www.reuters.com, 15. www.reuters.com, 16. www.theguardian.com, 17. uk.finance.yahoo.com, 18. www.fool.co.uk, 19. www.hl.co.uk, 20. www.marketscreener.com, 21. www.marketscreener.com, 22. www.artemis.bm, 23. www.artemis.bm, 24. portfolio-adviser.com, 25. portfolio-adviser.com, 26. portfolio-adviser.com, 27. www.marketscreener.com, 28. www.hl.co.uk, 29. www.hl.co.uk, 30. www.lloydsbankinggroup.com, 31. www.investegate.co.uk, 32. www.tipranks.com, 33. www.ft.com, 34. www.hl.co.uk, 35. www.ajbell.co.uk, 36. www.reuters.com, 37. www.ft.com, 38. www.reuters.com, 39. www.reuters.com, 40. www.creditstrategy.co.uk, 41. www.lloydsbankinggroup.com, 42. www.investing.com, 43. www.marketscreener.com, 44. www.investing.com, 45. www.tipranks.com, 46. www.fool.co.uk, 47. uk.finance.yahoo.com, 48. uk.finance.yahoo.com, 49. www.hl.co.uk, 50. www.hl.co.uk, 51. www.investing.com, 52. www.fool.co.uk, 53. www.hl.co.uk, 54. www.lloydsbankinggroup.com, 55. www.creditstrategy.co.uk, 56. www.reuters.com, 57. www.reuters.com, 58. www.ajbell.co.uk, 59. www.reuters.com, 60. www.hl.co.uk, 61. www.ft.com, 62. www.investing.com, 63. www.lloydsbankinggroup.com, 64. www.investing.com
