£80bn funding boosts bank lending

Banks are starting to boost lending to cash-starved households and businesses as part of an £80 billion plan to free up credit, the Bank of England has said.

The Bank revealed it had seen an "early impact" of its Funding for Lending scheme as borrowing rates begin to come down, but warned it may not be able to prevent total lending from falling over the next 18 months as wider global economic troubles continue to weigh on markets.
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