Lloyds Banking Group, formed out of the takeover of HBOS by Lloyds TSB, the UK lenders now partly owned by the UK government, said the acquisition has been successfully completed - a deal it expects to deliver pre-tax annual cost savings greater than £1.5 billion by the end of 2011.

Lloyds TSB has traded satisfactorily since its update to the market in its interim management statement on 3 November 2008 and its subsequent market update on 12 December 2008, the bank said.

The group will announce preliminary results for HBOS and Lloyds Banking Group for the period ended 31 December 2008 on 27 February 2009.