Daniels joined Lloyds TSB in 2001 and became its chief executive in 2003, having previously worked at Citibank.
He became chief executive of Lloyds Banking Group after Lloyds TSB took over Bank of Scotland-owner HBOS at the height of the financial crisis.
Daniels left Lloyds in February 2011 and was replaced by Santander veteran António Horta-Osório.
Jonathan Feuer, managing partner and head of CVC’s global financial institutions group, said: “I am delighted that Eric has joined CVC as a senior adviser.
“With his breadth of knowledge and understanding in banking, insurance and wealth management, we hope to further strengthen our capabilities and build on the success the financial institutions group team has achieved over the past four years.”
Since 2008, CVC’s global financial institutions group has invested in companies including: Avolon Aerospace, the global aircraft leasing company; Sun Hung Kai Financial, a financial services company in Hong Kong and China; and Brit Insurance, the global specialty property and casualty insurer and reinsurer.
The group has also invested in Rizal Commercial Banking Corporation in the Philippines; and Cunningham Lindsey, one of the largest global loss adjusting and claim management companies.