Lloyds reports 23% profit rise, AI cost-cutting plan

Lloyds Banking Group has reported a sharp rise in profits and launched a new four-year strategy centered on artificial intelligence, signaling a deepening commitment to technology as the core of its future business model. The bank announced on Thursday, July 30, 2026, a statutory pretax profit of 4.3 billion pounds for the first half of the year, a 23 percent increase from the 3.5 billion pounds earned in the same period last year. The result exceeded analyst expectations of approximately 4.1 billion pounds.

The stronger performance was driven by higher net interest income, disciplined cost control, and growth in customer lending and deposits. Alongside the results, Chief Executive Charlie Nunn unveiled "Accelerate 2030," a new strategic plan set to take effect in 2027 following the conclusion of the group's current 2022-2026 transformation program. A central pillar of the new strategy is a target to generate an additional 2 billion pounds in gross cost savings by 2030, building on more than 2 billion pounds of efficiencies already expected from the current plan.

Officials indicated that much of these future savings are expected to come from an expanded deployment of artificial...