The Government has sold a further one per cent stake in Lloyds Banking Group, reducing its total holdings to 13.99 per cent.
In a stock market disclosure, the Treasury said it has now recouped £14 billion from the sell off, all of which has gone towards reducing the national debt.
The price for the share sale, which was conducted on Friday, was not disclosed.
During the financial crisis, the Government bought a 41 per cent stake in Lloyds worth around £20.5bn.
Speaking about the latest sale, Chancellor George Osborne said: "It's fantastic news that we've sold more shares in Lloyds Bank, taking the total recovered to almost £14 billion.
"I am determined to build on this success, and to continue to return Lloyds to the private sector and reduce our national debt."
A Lloyds spokesman said: "Today's announcement shows the further progress made in returning Lloyds Banking Group to full private ownership and enabling the taxpayer to get their money back.
"This reflects the hard work undertaken over the last four years to transform the Group in to a simple, low-risk and customer-focused bank that is committed to helping Britain prosper".
Last week the bank, run by chief executive Antonio Horta-Osorio, reported a 38 per cent rise in first-half profits despite having to set aside a further £1.4bn for payment protection insurance (PPI) mis-selling.
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