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LBG 2023 Full Year Results - Unite’s View

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Unite are pleased to acknowledge the hard work of colleagues and members in supporting LBG to deliver a strong set of results for 2023. On the back of these results, LBG has set out its approach to GPS for 2023 and made recommendations on the level of dividend to be paid to shareholders.

For 2023, LBG has posted a statutory profit after tax of £5.52 billion which represents a 40% increase on the 2022 figure of £3.92 billion.

Approach to GPS for 2023

The LBG GPS pool set aside for 2023 is £384m which is down on the 2022 pool of £446m, although LBG have indicated that combined with the element of GPS consolidated into salary, this is higher than the 2022 GPS pool. for eligible colleagues at grades A to E there are two award levels available:

Standard Award: most colleagues will receive this - the award will be 5.0% of salary.

Excellence Award: to recognise those who have consistently exceeded expectations - the award will be 7.5% of salary.

D - E: an additional award level is available: Exceptional Award: to recognise those making outstanding contributions - the award will be 12.5% of salary.

For eligible colleagues at grades F and G, awards will be made on the basis of line-manager discretion, taking account of colleague contribution, impact, behaviours and growth​​​​​​​, as well as Total Compensation in comparison to peers. Colleagues deemed to be performing below expectations will receive a limited or zero GPS award. Eligible colleagues at grades F and G will be granted awards in the following ranges: - Grade F: 0% to 30% of base pay & Grade G: 0% to 40% of base pay.

Unite view

Unite welcomes the positive news that eligible colleagues will be entitled to receive GPS bonuses for 2023 to recognise their significant contribution to the ongoing success of LBG. That said, we feel that a fairer and more inclusive approach could be adopted, we believe that colleagues at grades A to C should be eligible for the Exceptional Award that attracts a bonus of 12.5% of salary – to limit eligibility to grades D and E could be construed as unnecessarily hierarchical and undervaluing the contribution of those colleagues in grades A to C. Unite also feels that colleagues at grades A to E should be eligible to receive the higher percentage rates of GPS award that are available for grades F and G.

Unite has voiced concerns about the use of line-manager discretion to determine pay and GPS for colleagues at grades F and G. However, we have been assured that awards will be granted in a fair manner and will continue to carefully monitor any colleague concerns.

Total Ordinary Share Dividend

The LBG Board has recommended a total ordinary dividend for 2023 of 2.76 pence per share, up 15 per cent on 2022. Subject to approval at the AGM on 16 May 2024, those colleagues who are LBG shareholders will receive their dividends from around 21 May 2024.

Unite view

Unite recognises the value of the various Colleague Share Plans, that enable colleagues to acquire LBG shares on competitive terms, and welcomes the recommended dividend of 2.76 pence per share, to be paid to colleague shareholders (subject to approval of the dividend at the AGM). It is also worth noting that based on LBG’s strong capital position, the LBG Board has also announced its intention to undertake another share buyback programme of up to £2.0 billion, this is projected to return £3.8 billion to shareholders. Given this robust capital position we will be urging LBG to invest even further in Colleague Reward at a time when LBG staff are working hard to support one of the largest digital transformations in the banking sector.

Unite Support & Next Steps

Unite are committed to working on behalf of our members to ensure that they have access to fair reward package, that is commensurate with the hard work and loyalty that they deliver on behalf of LBG daily. 

The efforts of colleagues and members has been a significant factor in the delivery of LBG’s strong 2023 results, and in helping to maintain a strong capital position for the Group. We strongly feel that the efforts of colleagues should be acknowledged by enhancements to the wider Colleague Reward offering. Whilst a formal pay settlement has been agreed for 2024 and 2025, against the backdrop of the 2023 results and LBG’s position of capital strength, we will continue to focus on outstanding reward priorities to ensure that your voice is heard. This will include:

  • DB Pension Scheme (removal of the cap on pensionable salary and state-pension claw back).

  • 4-Day Week with No Loss of Pay.

  • Bank Holiday Pay.

If any colleague has any queries or concerns about any of the matters above or Colleague Reward generally, please contact your Unite Team -



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