BofE Credit Conditions Survey Paints Bleak Picture: Metro

Mark Price, Managing Director of Business and Commercial Banking, Metro Bank comments on the Bank of England Credit Conditions Survey

“Today’s Bank of England Credit Conditions survey seems to paint a bleak picture for British businesses, very few of whom are requesting and being granted working credit. Q3’s small increase in available credit made has been offset by far tighter loan conditions, and British businesses are being left without a viable funding source for expansion. Our research shows that the main reason businesses request a loan is to fund growth.

“Today’s survey shows that demand for credit is expected to remain weak as businesses are reluctant to request and take on more credit, but our research shows just 36% feel their bank has been supportive of their business over the past 12 months. Businesses without a good relationship with their bank are less likely to feel able to discuss their lending requirements. Metro Bank’s focus on local community based banking means that local managers are able to make lending decisions based on the relationship between Metro Bank and each business.”