Non Financial Business Lending Deteriorates
According to the Statistical release Money and Credit: November 2017 report published by the Bank of England on the 4th January 2018 the annual growth rate in non financial business lending in November 2017 deteriorated when compared with the same month in 2016. The report makes for interesting reading and can be viewed in full on the Bank of England’s website but we provide some of the data below.
In November the annual growth rate in lending to such businesses eased off somewhat to 1.7%. In October 2017 the 12 months growth rate was 2.00% and in September 2017 it was 2.6%.
The total amount outstanding in lending to non financial SMEs as at November 2017 stood at £165.6 billion and the total amount outstanding in lending to non financial large businesses amounted to £299.9 billion as at November 2017.
Perhaps one of the factors that has impacted upon the easing in the annual growth rate in business lending has been the increase in the base rate on the 2nd November 2017 to 0.5%. That was due to a 0.25% rise in the rate that had remained at the same level for many years.
It is important that if you are a business owner looking to borrow money for your business perhaps to buy new factory premises or invest in new computers that you shop around with a view to obtaining as competitive a business loan package as possible. Although the natural inclination for many business owners is merely to approach their existing bank it may be worth also approaching some of the other major banks and building societies as well as more specialist lenders such as peer to peer lenders to try to obtain a better deal.
In this respect, why not get in touch with us here at Commercial Mortgage Link and we will put you in touch with a specialist commercial lending broker who will discuss your requirements and do all that he or she can to source a competitive business lending package.