UK government may offload stake in Lloyds, RBS: report

BANGALORE (Reuters) – A sale of the British government’s $107 billion stake in Lloyds Banking Group (LLOY.L: Quote, Profile, Research) and RBS (RBS.L: Quote, Profile, Research) may start next year, Bloomberg said, citing four people familiar with the matter.

The government may offload its stake in Lloyds first as the London-based bank is better prepared for a sale, while RBS may return to majority private ownership by the end of 2014, the people told the agency.

The government has a stake of more than 80 percent in RBS and also owns a large minority of Lloyds after rescuing both groups during the financial crisis.

The two banks declined to comment to Bloomberg on possible sale timetables. Reuters could not immediately reach Lloyds or RBS.

(Reporting by Arup Roychoudhury; Editing by Mike Nesbit)

UK government may offload stake in Lloyds, RBS: report