Punchline Friday Survey - The Bank of England
Punchline’s Friday Survey today takes a look at the latest move by The Bank of England to combat the High Street Banks’ ongoing reluctance to lend money to businesses.
Earlier this week, Sir Mervyn King, Governor of the Bank of England, announced a new £80 billion scheme to offer loans to the High Street Banks on preferential interest rates - provided they meet specified targets on lending money to businesses and mortgage applicants.
Failure to meet targets will hit the banks with a hike in the interest rate they pay on their loans.
This objective is to encourage the banks to increase lending in order to kick start the economy - but will it?
Can you suggest other measures that would help boost bank lending – in no more than 50 words?
If so - e-mail email@example.com
We will report on the results next week.