Leading franchise in U.K. retail banking and strong positions in U.K. commercial and corporate banking, and insurance. Efficient operating model should support business stability and good relative profitability in the coming years Supportive capitalization, funding and liquidity profiles. Expected weaker economic conditions following U.K. vote to exit the EU. Still rebuilding statutory profitability, although the drag on earnings from nonrecurring items is declining. The negative outlook reflects the negative trend we see for economic risk in the U.K. and our view that Lloyds' creditworthiness could weaken if its operating environment weakens. Nevertheless, our ratings reflect our view that Lloyds' statutory profitability will further improve through end-2019; that it will maintain an S&P Global Ratings risk-adjusted capital (RAC) ratio of 7.8%-8.3%;
