At the height of the financial crisis in late 2008, the government provided support to the banking sector, including the purchase of more than £20 billion of shares in Lloyds Banking Group (Lloyds). In September 2013, the government sold just over 15 per cent of the taxpayers’ shares in Lloyds to institutional investors. The National Audit Office reviewed this first sale and found that it represented value for money. Government continued to sell the remainder of the taxpayers’ shares through an institutional placements of shares (accelerated book-build) and two trading plans. In May 2017, Lloyds was fully returned to private ownership, and government reported that taxpayers’ have made a £900 million profit on the sales.
This study will consider how the government prepared for, and carried out, the sales of the shares in Lloyds from March 2014 onwards, and whether these sales represented value for money.