London: Lloyds Banking Group chairman Victor Blank is likely to step down from his position amid mounting pressure from shareholders following Lloyds TSB’s merger with the crisis-hit HBOS last autumn, media report says.
“Victor Blank is to step down as the chairman of Lloyds Banking Group in a move that will stun the City,” the Telegraph said adding “the development could be announced as early as Sunday.”
Blank, who was appointed chairman of Lloyds TSB in May 2006, is expected to remain at Lloyds for about a year, allowing a successor to be identified. A process to recruit a replacement will begin immediately, the newspaper added.
Besides, Blank’s resignation is likely to lift the immediate pressure on Eric Daniels, the chief executive of Lloyds, who has also been under fire after telling a parliamentary committee that the bank’s board had not had sufficient time to conduct proper due diligence on HBOS’s books before it agreed to the merger.
Both the Lloyds board and UK Financial Investments (UKFI), which manages the Treasury’s 43 per cent stake in Lloyds have been discussing the management line-up at the bank with investors in recent weeks.