Moody's May Downgrade LLoyds TSB and HBOS

The merger between Lloyds TSB and HBOS, forms the UK's largest single financial services group with assests of more than a trillion pounds at June 2008.

Despite that however, Moody's hvae indicated that it will place it's ratings on both on review for a possible downgrade.

The merger of the two poses significant integration risks, says Moody's, and that there are still some difficult challenges ahead for the group.