RBS and Lloyds set to reveal big losses On its own, Lloyds, which is 41pc owned by the taxpayer, is expected to reveal on Friday a pre-tax loss of around £4bn for 2011, following a £281m profit the year before. The loss will include a £3.2bn hit incurred for mis-selling payment protection insurance. Analysts are more divided on expectations for RBS, which is still 83pc state-owned and which reports on Thursday, but say losses could amount to between £1bn and £2bn. The poor results will put the spotlight back on the state-owned banks, fuelling fears that it will take several years before taxpayers see a return on their investment. At Lloyds, investors will also focus on the health of the chief executive, Antonio Horta-Osorio, after a stress-related sleeping disorder kept him off work for two months last year. Last month he revealed he would not take an annual bonus for 2011 because his absence and "the tough financial circumstances" faced by many Britons would make such a payment inappropriate. Stephen Hester, RBS chief executive was forced to give up a planned £1m bonus following a public and political outcry. Investors this week will want an update on the bank's restructuring plans. Spokesmen for Lloyds and RBS declined to comment.