Lloyds' gloomy message on UK recovery is based on more than pessimism | Larry Elliott

Companies are stashing away their government-funded bounce-back loans for a reason

Way back when Britain had a much bigger industrial base than today, ICI's results were seen as a sign of how well things were going. Times change, and these days it is not a manufacturing giant like ICI but a high street bank that has taken on the role of the economy's bellwether.

If what's happening at Lloyds Banking Group really is a reflection of what is happening to the UK as a whole - and there is a good argument for that - there is plenty to be concerned about. Lloyds has a big presence in the mortgage market, car loans, credit cards and business lending. It is almost entirely UK-focused.