Why the Bank of England can't get banks lending

British borrowers are yet to see much benefit from the Bank of England’s Funding for Lending Scheme

Thursday 7 March 2013 at 06:13

British borrowers are yet to see much benefit from the Bank of England’s Funding for Lending Scheme, with net lending down £2.4bn among participating banks in the last quarter of 2012.

But while lending is yet to experience a boost, commercial banks are benefiting from the scheme simply by maintaining loan supply at mid-2012 levels, the benchmark against which the success of the FLS is to be measured.