Lloyds Banking Group PLC — Capital/Financing Update 2016

Nov 9, 2016

Final Terms dated 8 November 2016

Lloyds Banking Group plc

Issue of €638,865,000 0.750 per cent. Notes due 2021 under the £50,000,000,000

Euro Medium Term Note Programme

PART A — CONTRACTUAL TERMS

Terms used herein shall be deemed to be defined as such for the purposes of the Conditions (the "Conditions") contained in the Trust Deed dated 17 May 2016 as last supplemented on 28 July 2016 and set forth in the Prospectus dated 17 May 2016 and the supplemental Prospectuses dated 29 July 2016 and 26 October 2016 which together constitute a base prospectus for the purposes of the Prospectus Directive (Directive 2003/71/EC) and amendments thereto, to the extent that such amendments have been implemented in the relevant Member State of the European Economic Area (the "Prospectus Directive"). This document constitutes the Final Terms of the Notes described herein for the purposes of Article 5.4 of the Prospectus Directive and must be read in conjunction with such Prospectus as so supplemented. Full information on the Issuer and the offer of the Notes is only available on the basis of the combination of these Final Terms and the Prospectus. The Prospectus and the supplemental Prospectuses are available for viewing at www.londonstockexchange.com/exchange/news/market-news/market-news-home.html and copies may be obtained from Lloyds Banking Group plc, The Mound, Edinburgh EH1 1YZ.

1	Issuer:	Lloyds Banking Group plc
2	(i) Series Number:	EMTN4885
	(ii) Tranche Number:	1
3	Specified Currency:	Euro ("€")
4	Aggregate Nominal Amount:	€638,865,000
5	Issue Price:	99.639 per cent. of the Aggregate Nominal Amount
6	(i) Specified Denominations:	€100,000 and integral multiples of €1,000 in excess thereof up to and including €199,000. No Notes in definitive form will be issued with a denomination above €199,000
	(ii) Calculation Amount:	€1,000
7	(i) Issue Date:	9 November 2016
	(ii) Interest Commencement Date:	Issue Date
8	Maturity Date:	9 November 2021
9	Interest Basis:	0.750 per cent. Fixed Rate
10	Redemption Basis:	Redemption at par
11	Change of Interest or Redemption/Payment Basis:	Not Applicable
12	Alternative Currency Equivalent:	Not Applicable
13	Put/Call Options:	Not Applicable

14	Status of the Notes:	Senior
15	Senior Notes Waiver of Set-off:	Applicable
PROVISIONS RELATING TO INTEREST (IF ANY) PAYABLE
16	Fixed Rate Note Provisions	Applicable
	(i) Rate of Interest:	0.750 per cent. per annum payable annually in arrear
	(ii) Interest Payment Date(s):	9 November in each year from and including 9 November 2017
	(iii) Fixed Coupon Amount:	€7.50 per Calculation Amount
	(iv) Broken Amount(s):	Not Applicable
	(v) Day Count Fraction:	Actual/Actual ICMA
	(vi) Determination Dates:	9 November in each year
	(vii) Business Day Convention:	Applicable - Modified Following Business Day Convention
17	Fixed Rate Reset Note Provisions	Not Applicable
18	Floating Rate Note Provisions	Not Applicable
19	Zero Coupon Note Provisions	Not Applicable
PROVISIONS RELATING TO REDEMPTION
20	Call Option	Not Applicable
21	Put Option	Not Applicable
22	Capital Disqualification Event Call	Not Applicable
23	Final Redemption Amount	€1,000 per Calculation Amount
24	Early Redemption Amount
	Early Redemption Amount(s) payable on redemption for taxation reasons, following a Capital Disqualification Event or on event of default or other early redemption:	€1,000 per Calculation Amount
25	Capital Disqualification Event Substitution and Variation	Not Applicable

GENERAL PROVISIONS APPLICABLE TO THE NOTES

26	Form of Notes:	Bearer Notes:
		Temporary Global Note exchangeable for a
		Permanent Global Note which is exchangeable for
		Definitive Notes in the limited circumstances
		specified in the Permanent Global Note
27	New Global Note:	Yes

• Additional Financial Centre(s) or 28 other special provisions relating to payment dates:
• Talons for future Coupons to be 29 attached to Definitive Notes (and dates on which such Talons mature):

DISTRIBUTION

U.S. Selling Restrictions: 30

London and TARGET

No

Reg S Category 2; TEFRAD

Signed on behalf of the Issuer:

$100$ $By:$

Duly authorised

PART B – OTHER INFORMATION

1	LISTING
	(i) Listing:	London
	(ii) Admission to trading:	Application is expected to be made for the Notes to be admitted to trading on the London Stock Exchange's Regulated Market with effect from 9 November 2016.
	(iii) Estimate of total expenses related to admission to trading:	£3,650
2	RATINGS
	Ratings:	The Notes to be issued are expected to be rated:
		S & P: BBB+
		Moody's: Baa1
		Fitch: A+
3	INTERESTS OF NATURAL AND LEGAL PERSONS INVOLVED IN THE ISSUE
	Save as discussed in "Subscription and Sale", so far as the Issuer is aware, no person involved in the issue of the Notes has an interest material to the issue."
4	Fixed Rate Notes only — YIELD
	Indication of yield:	0.824 per cent. per annum
5	OPERATIONAL INFORMATION
	ISIN Code:	XS1517181167
	Common Code:	151718116
	Any clearing system(s) other than Euroclear Bank SA/NV and Clearstream Banking, S.A. and the relevant identification number(s):	Not Applicable
	Delivery:	Delivery free of payment
	Names and addresses of additional Paying Agent(s) (if any):	Not Applicable
	Name and address of Calculation Agent:	Not Applicable