Why Lloyds Expects Gen AI to Generate US$127m in Value

Lloyds Banking Group is set to deliver more than US$127m in value from generative AI in 2026 as it accelerates its technological transformation

The UK high street bank says Gen AI delivered approximately US$63m of value in 2025. This figure is expected to double in the coming year as the organisation extends its leadership position in the field.

Lloyds deployed more than 50 Gen AI solutions in 2025. These tools focused on enhancing customer interactions and accelerating query resolution.

Lloyds Bank and its digital strategy 

In 2026, Lloyds is set to scale agentic AI across its operations. The shift involves moving from tools that simply process information to autonomous agents that can execute complex tasks.

The strategic investment aims to provide seamless experiences for 28 million customers.

Part of this roadmap includes the full rollout of an AI-powered financial assistant within the mobile app. This assistant will offer tailored guidance and support for savings, borrowing, and investments.

The group has already integrated several high-impact tools into its daily workflow.

The Athena Knowledge Management Tool is currently used by 20,000 colleagues to find information for customer queries. It has reportedly reduced search times by an average of 66%.

Furthermore, around 5,000 engineers are utilising GitHub Copilot to support coding tasks. This has resulted in a 50% improvement in converting code for established systems.

The group also employs an AI HR assistant that resolves 90% of internal queries correctly on first contact.

To ensure the workforce is equipped for this transition, the bank is launching an AI Academy for its 67,000 colleagues. This initiative is designed to build AI literacy and ensure the technology is used responsibly across the organisation.

Ron van Kemenade, Group COO at Lloyds Banking Group, notes: “AI is already delivering real value for our business, our colleagues and our customers. The progress we’ve made this year shows the scale of the opportunity ahead. 

“By continuing to extend our leadership in AI and scaling the most impactful technologies across the group, we can unlock new opportunities to better support our customers, strengthen our operations and realise further financial benefits in the years ahead.”

Strategic context for digital transformation

The focus on AI forms part of a broader US$5bn investment in the group’s digital transformation.

By prioritising tech-led growth, the bank aims to modernise its legacy systems and compete with digital-native fintechs.

The use of AI for internal engineering tasks is particularly relevant for maintaining resilient tech infrastructure. Improving code conversion speed allows for faster upgrades to customer-facing platforms.

As the UK’s largest digital bank, the group is leveraging its scale to test and deploy these models at pace.

The upcoming AI Academy suggests a long-term commitment to embedding these technologies into the corporate culture.

The UK Government similarly looked to Starling Bank and Lloyds Banking Group for AI strategy as Harriet Rees and Rohit Dhawan were appointed as AI chiefs in a push towards more national acceptance of AI. 

A member of the AI Consortium, Rohit is Group Director and Head of AI & Advanced Analytics at Lloyds Banking Group. He has been at Lloyds since 2024. 

He heads up Lloyds’ AI, ML, and advanced analytics strategy and roadmap, which includes overseeing behavioural science and AI ethics teams.

His core responsibilities involve transforming customer experience and operational processes, democratising AI across the group, and establishing an AI and Advanced Analytics Centre of Excellence.