Lloyds TSB and Abbey National

Lloyds TSB Group PLC
10 July 2001




67/01                                             10 July 2001



Not for release, publication or distribution in or into the United States,
Canada, Australia or Japan



LLOYDS TSB AND ABBEY NATIONAL

Lloyds TSB notes the announcement by the Secretary of State for Trade and
Industry that we will not be permitted to proceed with an offer for Abbey
National.

The financial services market in the UK is a highly competitive market. We
remain firmly of the view that a combination of Lloyds TSB and Abbey National
would not have impacted adversely on competition.

The growth opportunities for Lloyds TSB are very considerable, with or without
Abbey National. We will continue to focus on delivering value for our
shareholders through organic growth and acquisitions.

                                    -ends-

For further information:
Investor Relations

Kent Atkinson                                                020 7356 1436

Group Finance Director

E-mail: [e-mail]

Michael Oliver                                               020 7356 2167

Director of Investor Relations

E-mail: [e-mail]


Media

Terrence Collis                                              020 7356 2078

Director of Group Corporate Communications

E-mail: [e-mail]