Why has the government cut back?
The government has slashed its stake in the Lloyds Banking Group to just under five per cent, the move comes in a bid to return the bank to private owership.
UK Financial Investments Limited (UKFI), this is part of the government which manages holdings for the Treasury, said that it sold its shares in Lloyds on Thursday. This reduced its stake by 4.889 per cent.
Earlier on in the month UKFI reduced its stake in Lloyds from 6.93 per cent to 5.95 per cent.
Lloyds is set to release a full-year report on earnings on the 22 February.