Lloyds shares continue to dive

Shares in Lloyds Banking Group fell 7% this morning as the bank continues to feel the pressure from Friday’s announcement of huge losses at HBOS.

At their lowest, the bank’s share fell by 32% on Friday after HBOS announced losses of over £10bn for 2008.

The news sparked fears that the government would be forced to pump more money into the bank, or nationalise it.

Lloyds has also been criricised for planning to give staff bonuses, despite being 43% owned by the government.