Lloyds looking at deeper job cuts or new strategic review, reports say

Lloyds Banking Group may make more than its planned 9,000 job cuts before the end of 2017, according to reports, with management pondering a new strategic review of the business.

The FTSE 100 lender's directors are mulling axing further staff in order to cut back the cost base closer to the bone, Bloomberg reported.

Lloyds, whose chief executive António Horta-Osório first unveiled the 9,000 job cuts and 150 branch closures as part of a three-year plan in late 2014, is now pondering whether to accelerate the redundancy plan or carry out a new strategic review this summer, one of Bloomberg's sources said.

As part of its annual results in February, Lloyds revealed operating costs were lower at £8.3bn, despite the bank having additional costs from investment and simplification. Its cost-income ratio improved by 0.5 percentage points to 49.3%.

Lloyds, which is still 9% owned by the taxpayer, is expected to make a steady pre-tax profit of £1bn in the first quarter of this year, down from £1.2bn in the same three months last year, according to UBS.

While Lloyds is looking to cut costs, there have been reports that the bank is planning to expand its insurance brand Scottish Widows via a spate acquisitions.