Lloyds Banking Group has announced shares in TSB will cost between 2 euros 70 and 3 euros 50 when the bank floats on the stock market next month.

Lloyds is putting 25 percent of its stake up for sale.

That means TSB will have a value of just over 1.5 billion euros.

Lloyds was bailed out by UK taxpayers in 2008 and TSB is being sold off to comply with EU law on state aid.

TSB boasts 4.5 million customers making it the seventh biggest bank in the UK.

Lloyds Banking Group has until 2015 to sell of its remaining stake in TSB.