Lloyds Banking Group acquires remaining stake in Schroders Personal Wealth

Published 09/10/2025, 10:06
© Reuters.

LONDON - Lloyds Banking Group has acquired the remaining 49.9% stake in Schroders Personal Wealth (SPW), taking full ownership of the wealth management and advice business previously operated as a joint venture with Schroders Group, according to a press release issued Thursday.

The transaction involved no cash consideration, with Lloyds exchanging its 19.1% stake in Cazenove Capital for Schroders’ share in SPW. The business, which will be rebranded as Lloyds Wealth, currently manages approximately £17 billion in assets for around 60,000 clients and generated an operating profit of about £45 million in the first half of 2025.

SPW offers personalized financial advice backed by investment expertise, serving both Lloyds and non-Lloyds customers. The acquisition aligns with Lloyds’ strategy to strengthen relationships in the high-value wealth segment and create an integrated banking and investment proposition.

Full ownership will allow Lloyds to more effectively manage the business while creating a seamless customer experience. The company plans to make the full advice proposition available to more than 3 million mass affluent banking customers across Lloyds, Halifax, Bank of Scotland, and Scottish Widows brands.

Despite the change in ownership, Schroders will continue to manage SPW’s customer assets and the existing Scottish Widows mandate under a multi-year agreement. Lloyds will also maintain its partnership with Cazenove Capital for high-net-worth customer services.

The acquisition is not expected to materially impact Lloyds’ financial performance, though the bank noted that group operating costs will modestly exceed its previous guidance of approximately £9.7 billion for 2025 due to costs associated with the acquired business. The capital impact was described as immaterial.

From October 9, SPW will be fully consolidated in Lloyds’ financial results, rather than recognized as a share of joint venture profit after tax within other operating income.

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