LONDON, July 26 Reuters Lloyds Banking Group reported a higher charge for troubled loans and missed firsthalf profit expectations as Britain39;s economic chills weighed on its finances and upped pressure on management to do more to help struggling savers.

Britain39;s biggest mortgage lender reported pretax profit of 3.9 billion pounds 5 billion for the six months to June, up from 3.1 billion a year earlier but slightly below the 4 billion average of analyst forecasts compiled by the bank.

Lloyds shares fell 5 in early trading against a flat FTSE 100 index.

Banking analysts at JPMorgan said a higher than expected charge for potentially soured loans up 76 to 662 million pounds and declining loan volumes would trigger downgrades of Lloyds39; performance for the year.

Lloyds reported an improved interim ordinary dividend of 0.92 pence per share, up 15 on the prior year and equivalent to returning 594 million pounds to shareholders.

The lender did not, however, offer a fresh buyback of its shares, adding to broader investor disappointment.

Lloyds and other banks are under pressure to help depositors following a long run of Bank of England rate rises, particularly as the cost of mortgages has risen at a much faster pace.

A 15 hike to its dividend is good news for shareholders, but there will almost inevitably be more questions over rates offered to savers in the current environment, said Zoe Gillespie, investment manager at RBC Brewin Dolphin.

Lloyds shares fell 5…