Pre-tax profits hit £4.25bn at Lloyds TSB

Bosses at what is one of the largest banking organisations in Britain suggested that the profit success builds on Lloyds TSB’s “improved earnings momentum that has been achieved over the last few years”.

And as Britain’s debt management troubles and Individual Voluntary Arrangement (IVA) applications mount up, the bank reflected on what it called “challenges” being faced within unsecured personal lending markets.

Lloyds TSB chairman Sir Victor Blank said: “I am delighted to report that the group has delivered another strong performance in 2006.”

“We have a high-quality balanced set of businesses, demonstrating increased trading momentum and I believe Lloyds TSB is in great shape for 2007 and beyond.”

In a recent interview with the Telegraph newspaper, the chairman of Debt Free Direct Mike Blackburn claimed big banks are to blame for the UK’s bankruptcy and IVA explosion seen in recent years.