Lloyds banking group acquires remaining stake in Schroders personal wealth
Lloyds Banking Group has completed the full acquisition of Schroders’ personal wealth arm, six years after the establishment of the unit.
Lloyds acquired the remaining 49.9 per cent of Schroders Personal Wealth (SPW) from the asset manager, handing the bank sole control of the business.
Lloyds noted the acquisition will support the group’s “ambition to deliver an end to end wealth offering”, including digital investment and pension propositions, as well as full financial planning with advice.
Chira Barua, Chief executive officer of Insurance, Pensions and Investments at Lloyds, said: “Growing wealth in the UK is core to our purpose.
By harnessing the power of financial advice through the launch of Lloyds Wealth, we will now offer customers a unified wealth offering bringing the best of human advice, technology and products under one umbrella.”
The move comes during a heated time for the sector, as previous heavyweight Hargreaves Lansdown slowly loses its grip on the market, leaving other leading providers to battle for the top spot.
Global bank JP Morgan decided to scrap its Nutmeg brand last week in favour of launching a new service, dubbed JP Morgan personal investing, while high street favourite HSBC splashed $5m (£3.7m) on a new London wealth centre.
SPW, which will be rebranded as Lloyds Wealth, was set up in 2019 in partnership with Lloyds, and supports £17bn assets under administration and 60,000 clients.
It delivered an operating profit of £45m in the first half of 2025, and expects operating costs to exceed full year guidance of £9.7bn.
Oliver Gregson, chief executive of wealth management at Schroders said: “Today’s announcement represents a meaningful step in reshaping our business and focusing on our strategic ambition.
This evolved partnership with Lloyds enables us to focus on where we can deliver the greatest value – driving growth, improving client outcomes, and elevating the experience for our clients.”
The wealth management business offers services to affluent banking customers across Lloyds, Halifax and Bank of Scotland as well as Scottish Widow customers.
Cazenove Capital stake
In return for Lloyds acquisition, Schroders has acquired the 19.1 per cent stake held by the bank in its wealth management division, Cazenove Capital, re-establishing full ownership.
However, Lloyds will continue to partner with Cazenove Capital, and offer its service to its high net worth customers.
Meanwhile, Schroders will continue to manage SPW’s customer assets and manage the Scottish Widows mandates as part of the agreement between the two companies.
Johanna Kyrklund, group chief investment officer at Schroders said: “Our extended investment agreement to manage the SPW and Scottish Widows assets, alongside our ongoing referral arrangement with Lloyds, reinforces our position as a trusted partner – helping more people across the UK grow and preserve their wealth.”