Lloyds Banking Group PLC's announcement that it has a second back-up plan if Chief Executive António Horta-Osório's leave of absence continues into 2012 has been reported globally. Banking and Finance expert Susan Younger, Partner at Morton Fraser explores the implications;

"We are pleased to see that Lloyds have taken steps to put in place a reserve for António Horta-Osório as the markets have not liked the uncertainty since the surprise announcement of António's stepping back for health reasons.

The markets however do appear to remain uncertain about the future management of Lloyds, with share value dropping recently.  David Roberts is an internal candidate and this will hopefully ease the transition in the event he has to take up the post. It is not easy finding the right type of individual to lead such a vast business as Lloyds and it is vital that they get this right as it is a company that touches most British citizens’ lives on a day-to-day basis and its success is of key important to the UK economy."