- James Lupton to depart at the conclusion of Lloyds Banking Group’s Annual General Meeting
- He will also step down as chairman of Lloyds Bank Corporate Markets.
Former Conservative Party co-treasurer Lord Lupton is to leave the board of Lloyds Banking Group.
James Lupton, 68, will step down as non-executive director after the financial giant’s upcoming annual general meeting, following a seven-year stint on the board.
He will also leave Lloyds’ investment banking arm, Lloyds Bank Corporate Markets, having been its inaugural chairman since the division was formed to comply with new “shelter” regulations.
Exit: Former Conservative Party co-treasurer Lord Lupton resigns as non-executive director of Lloyds Banking Group
Lupton originally joined Lloyds’ board in 2017 following an extensive career in the banking sector, which included setting up Greenhill’s London office and a six-year period as chairman of its European operations.
While at Greenhill, he helped advise the Co-op Bank during talks with bondholders after the flagship firm discovered a £1.5bn capital shortfall on its balance sheet.
Before that, he was vice-chairman of Baring Brothers until the merchant bank’s dramatic collapse in 1995 due to the fraudulent activities of “rogue trader” Nick Leeson.
The father-of-four, whose fortune was once estimated at £130million, was appointed co-treasurer of the Conservative Party in 2013 after donating significant sums to the party during David Cameron’s premiership.
Sir Robin Budenberg, chairman of Lloyds, said: “I would like to thank James for the valuable contribution he has made to the board since June 2017 and for his leadership as inaugural chairman of Lloyds Bank Corporate Markets and for his personal support of me “. since I became president.’
Lupton’s departure comes a week before Lloyds plans to publish its annual financial results.
Lloyds expects to report a bank net interest margin of more than 310 basis points and its return on tangible equity to exceed 14 per cent.
Through the first nine months of 2023, the company’s profits rose 46 percent to £4.3 billion thanks to lower impairment charges and interest rate increases that boosted revenue.
However, the FTSE 100 business, formed after Lloyds TSB bought HBOS during the global financial crisis, warned that the benefits of rising interest rates were beginning to diminish.
In the third quarter, its net interest margin – the difference between what lenders charge borrowers and what they pay savers – fell six basis points to 3.08 percent.
Lloyds banking group shares They were steady at 41.4p on Thursday morning, although they have fallen by around a fifth in the last 12 months.