Banks play an important role in the economy and a resilient banking system provides the foundation for sustainable economic growth. Assume that you are a financial analyst working for the Financial Policy Committee (FPC). The FPC is interested in understanding the state of the Lloyds Banking Group (the bank) and therefore ask you to prepare a brief analysis report on the bank. The following discussions are expected in the analysis report:

2. A short introduction on the bank and its operations (Word limit 200).

3. Analyse and critically discuss the banks latest annual consolidated balance sheet including its assets, liabilities and capital and its impact on the banks stability and profitability (Word limit 500).

4. Based on your analysis, suggest one regulatory change that could improve the stability of the bank and why? Your specific recommendation should be justified by your analysis (Word limit 500).