Heavy losses for Lloyds as wider FTSE closes down

Lloyds was the biggest faller on London’s leading shares index today after it suffered a £3.5bn (€4.12bn) loss and warned of further problems ahead.

The taxpayer-backed bank saw shares slip 2%, 0.8p to 35.7p, after boss Antonio Horta-Osorio said income related targets would be delayed as the bank comes under pressure from a weak economy and heavier regulation.