"While the board is yet to approve the 2010 annual financial results for the group, it plans to award Mr Daniels a bonus of 1.45 million pounds, equivalent to 62.3 percent of his potential opportunity," Lloyds said in a statement.

"In considering the award, the board took into account the current environment and desire for restraint," it added.

Daniels was paid around 1.1 million pounds for 2009 having waived his bonus.