Lloyds Banking Group plc · LSE:LLOY
Lloyds Banking — ESG Presentation (August 2020)
32 slides from Lloyds Banking's sustainability presentation, Aug 5, 2020
Slide 1: ESG Investor Presentation 2020
2020 ESG Investor Presentation 2020 Updated 05 August 2020, Investor Relations
Slide 2: Overview
Overview Environmental, Social and Governance matters are an integral part of Lloyds Banking Group’s strategy, and we have made significant progress in 2020 NEW Our purpose is to Help Britain Prosper We have taken significant action in 2020 We are a digitised, simple, low risk, customer focused, UK fin
Slide 3: Helping Britain recover beyond the crisis is integral to the Group's purpose
Helping Britain recover beyond the crisis is integral to the Group’s purpose Opportunity to build a stronger bank whilst supporting a resilient economy with a more sustainable future NEW • Working with government and regulators to help households build financial resilience and businesses recover Cust
Slide 4: We are continuing to support customers through COVID-19
We are continuing to support customers through COVID-19 Banks are an important part of the solution helping to support the UK economy NEW Being there for our customers • Flexible and sensitive treatment of retail customers; >1.1m payment holidays granted, £500 interest-free overdraft automatically a
Slide 5: We are also supporting our colleagues and communities
We are also supporting our colleagues and communities Banks are an important part of the solution helping to support the UK economy NEW Protecting our colleagues • c.50,000 colleagues working from home; c.22,000 laptops distributed during the pandemic • Pay and job security for all colleagues since
Slide 6: Black Lives Matter - Our stand for racial equality
Black Lives Matter - Our stand for racial equality We stand against racial discrimination in all forms and have been striving for inclusion and equality over the past few decades NEW Our progress so far New commitment - announced our ‘Race Action’ plan in July 2020 • First FTSE100 company to set We
Slide 7: We recognise being a responsible citizen is a fundamental component of a sustainable business model
We recognise being a responsible citizen is a fundamental component of maintaining a sustainable business model 7
Slide 8: Lloyds Banking Group at a glance
Lloyds Banking Group at a glance • Largest UK retail and commercial financial services provider, with over 300 years heritage across our brands • Our brands extend to c.26m customers; the largest branch network and leading digital bank in the UK with >17m digitally active users, up 4% in NEW H1'20; d
Slide 9: Our business model at a glance
Our business model at a glance Our purpose: Helping Britain Prosper GSR1 (2011-2014) GSR2 (2015-2017) GSR3 (2018-2020) • Reshaped our portfolio • Delivered sustainable growth M E A S XI ITI MI DIG • Simplified the Group • Became simpler and more SE efficient • Invested in the core business • Enhanced
Slide 10: Helping Britain Prosper plan is a key part of our ESG strategy
Helping Britain Prosper plan is a key part of our ESG strategy 1 Our Helping Britain Prosper plan ... ...directly supports external global goals Environmental Helping the transition to a sustainable low carbon economy Environmental and Social Helping Britain get a home Supporting businesses to start
Slide 11: The history of our Helping Britain Prosper plan
The history of our Helping Britain Prosper plan As the largest UK financial services provider, our prosperity is interwoven with the prosperity of the UK Helping Britain Prosper launched in Created >1,000 new apprenticeship places 15% increase in net SME lending since the start 2014 of 2014 (vs marke
Slide 12: Helping Britain Prosper throughout all regions of the UK
Helping Britain Prosper throughout all regions of the UK Foundations Business mentoring Made commitment to provide £25.5m of funding in 2021 Offering a mentoring service to small businesses to 2 to our four independant charitable Foundations help navigate a path beyond the coronavirus pandemic NEW N
Slide 13: Our four independent charitable Foundations
Our four independent charitable Foundations Our Foundations are critical to our vision of tackling social disadvantage by partnering with local charities to help overcome social issues and rebuild lives >£25m donated to Foundations in 2020, and have already made a commitment to provide the same fund
Slide 14: Awards and recognition
Awards and recognition NEW NEW 14
Slide 15: Helping the transition to a sustainable low carbon economy
Environmental Helping the transition to a sustainable low carbon economy Our goal is to be a leader in supporting the UK to successfully transition to a more sustainable, low carbon economy, which cannot happen overnight and relies on a phased approach Our commitments Objectives supported Progress W
Slide 16: Helping Britain get a home
Environmental and Social Helping Britain get a home As the largest lender to the UK housing sector, we are committed to supporting home ownership across the UK and are working to make it an affordable reality for millions of people Our commitments Objectives supported Progress Lend >£30bn to first ti
Slide 17: Helping people save for the future
Environmental and Social Helping people save for the future We recognise the importance of savings to build financial resilience and help tackle disadvantage. We’re making saving for the future as easy as possible by improving choice, flexibility and control Our commitments Objectives supported Progre
Slide 18: Supporting businesses to start up and grow
Environmental and Social Supporting businesses to start up and grow We want to be the best bank for business customers by providing products and services based on a real understanding of their needs, whilst adhering to our responsible lending practices¹ Our commitments Objectives supported Progress
Slide 19: Tackling social disadvantage across Britain
Social Tackling social disadvantage across Britain As one of the UK’s largest corporate donors, we use our scale to reach people in communities across the country to help improve lives Our commitments Objectives supported Progress Through our commitment to the Group’s Given an early commitment to pr
Slide 20: Building capability and digital skills
Social Building capability and digital skills Our ambition is to enhance capability and digital skills to help address the UK skills and productivity gap Our commitments Objectives supported Progress Provide digital skills training to >1.8m Building on the success of our academies in individuals, SM
Slide 21: Championing Britain's diversity
( Social Championing Britain’s diversity Diversity is a business issue. Diverse teams, supported by inclusive environments, are more engaged, more innovative and deliver better outcomes for customers Our commitments Objectives supported Progress 40% of senior roles to be held by women by Launched a
Slide 22: Our Helping Britain Prosper 2020 targets
Our Helping Britain Prosper 2020 targets 2018 2019 2020 Area of focus achieved achieved targets¹ SDGs supported Helping the transition to a sustainable low carbon economy Average number of homes that could be powered as a result of our support of UK 2.6m 5.1m2 5m renewable energy projects Helping Br
Slide 23: Sector statements – existing
Sector statements – existing Managing our risk appetite to a number of sectors is a critical part of our sustainability strategy. Our external sector statements set out our risk appetite for lending to these particularly sensitive sectors Sector Lloyds Banking Group will not: Sector Lloyds Banking G
Slide 24: Sector statements – new in 2020
Sector statements – new in 2020 Managing our risk appetite to a number of sectors is a critical part of our sustainability strategy. Our external sector statements set out our risk appetite for lending to these particularly sensitive sectors Sector Lloyds Banking Group will: Sector Lloyds Banking Gr
Slide 25: Governance at Lloyds Banking Group – Board of Directors
Governance at Lloyds Banking Group – Board of Directors Our Board of Directors has a diverse mix of skills and experience to provide independent and robust oversight of management; they actively engage with a wide variety of stakeholders and are committed to being responsive to them Board focus area
Slide 26: Leadership succession at Lloyds Banking Group
Leadership succession at Lloyds Banking Group Rigorous succession planning with Board oversight A co-ordinated leadership succession announced in July 2020 The Board ensures that appropriate and effective • In October 2019, the Group announced Lord Blackwell will have served 9 years on the successio
Slide 27: Responsible Business Committee
Responsible Business Committee A committee of the Board established in 2015 that provides oversight for the Group’s Helping Britain Prosper Plan, and the plans for delivering the aspiration to be seen as a trusted and responsible business Overview Areas of focus Helping Britain Prosper Plan Committe
Slide 28: Governance case study - COVID-19 operational response
Governance case study - COVID-19 operational response Strong incident management frameworks invoked at the onset of the crisis to ensure operational continuity, with focus now turned towards longer-term strategic changes NEW Initial incident management of the Group’s operational response Transition
Slide 29: New Group remuneration policy takes effect in 2020
New Group remuneration policy takes effect in 2020 The new Remuneration Policy was approved at the 2020 AGM with a majority of close to 64%, and we note the significant number of votes opposing the new policy. During 2020 we will continue to consult with shareholders and other stakeholders and will c
Slide 30: For further information
For further information Investor Relations Douglas Radcliffe Nora Thoden Group Investor Relations Director Director of Investor Relations - ESG 020 7356 1571 020 7356 2334 investor.relations@finance.lloydsbanking.com [email protected] Corporate Affairs Grant Ringshaw Matt Smith External R
Slide 31: Forward looking statements
Forward looking statements This document contains certain forward looking statements with respect to the business, strategy, plans and /or results of Lloyds Banking Group plc together with its subsidiaries (the Group) and its current goals and expectations relating to its future financial condition a
Slide 32: LLOYDS
LLOYDS
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