Chancellor delays public Lloyds share sale

28 January 2016

Lloyds-Banking-Group-001 Were you thinking of grabbing some of those Lloyds shares that were being put on general sale by the government? Well, you're going to have to wait, because Gideon Osborne has decided to put the whole thing off for a bit.

Why is he doing this? Well, our beloved chancellor says that selling the final stake of the bank should wait, because of the global turmoil in the markets.

David Cameron pledged that this would be happening during the general election, and expected the sale to raise around £2bn. So, you can either assume that this is a mere postponement, or he's up to something - your call.

Either way, Lloyds' share price has dropped of late, and low interest rates have been hammering the banking sector.

Osborne said: "I want to create a share owning democracy and I want to give the British people a chance to buy shares in Lloyds bank, a bank that they had to bail out."

"It is also my responsibility to make sure we have a secure and sound economy and with these turbulent financial markets it wouldn't be right to have the Lloyds share sale now. There will be a sale of shares [in] Lloyds but only when the time is right for people."

"We need those markets to calm down, and then we can proceed with the sale. We've got hundreds of thousands of people interested in buying these shares, I want to sell them the shares, but it wouldn't be right to undertake that sale when frankly things are pretty turbulent out there on the stock markets and the global financial markets."

TOPICS:   Banking

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