▁in ▁the ▁United ▁States <0x0A> </s> ▁L loy ds ▁Associ ated ▁Bank ing ▁Company ▁Limited ▁( LAB CO ) ▁was ▁the ▁merchant ▁bank ing ▁arm ▁of ▁L loy ds ▁Bank ▁in ▁the ▁United ▁Kingdom ▁from ▁ 1 9 7 1 ▁until ▁ 1 9 8 5 , ▁when ▁it ▁became ▁part ▁of ▁the ▁newly - formed ▁L loy ds ▁Mer chant ▁Bank . ▁ ▁History ▁L AB CO s ▁activities ▁as ▁a ▁lic ensed ▁depos it - t aking ▁institution ▁under ▁the ▁Bank ing ▁Act ▁ 1 9 7 9 , ▁were ▁cent red ▁on ▁the ▁raising ▁and ▁l ending ▁of ▁ster ling ▁funds ▁in ▁the ▁wh oles ale ▁market , ▁b idd ing ▁for ▁ster ling ▁depos its ▁at ▁market ▁rates ▁independently ▁of ▁the ▁normal ▁branch ▁depos it ▁account ▁system ▁and ▁providing ▁medium - term ▁lo ans ▁to ▁customers ▁falling ▁outside ▁the ▁bank ' s ▁usual ▁l ending ▁arrang ements . ▁Oper ating ▁princip ally ▁in ▁the ▁London ▁inter - bank ▁ster ling ▁market , ▁it ▁matched ▁depos its ▁and ▁lo ans ▁closely , ▁thus ▁minim ising ▁its ▁expos ure ▁to ▁risk . ▁In ▁ 1 9 8 2 , ▁L loy ds ▁Associ ated ▁Bank ing ▁Company ▁was ▁renamed ▁L loy ds ▁Bank ▁( LAB CO ) ▁Limited ▁and , ▁in ▁ 1 9 8 5 , ▁it ▁became ▁a ▁wh olly ▁owned ▁subs idi ary ▁of ▁L loy ds ▁Mer chant ▁Bank ▁Hold ings ▁as ▁a ▁primary ▁market ▁mak er ▁in ▁the ▁new ▁gilt - ed ged ▁market , ▁under