Bank of England bank credit conditions survey – 2021 Q2

The Bank of England published the results of the latest quarterly credit conditions survey covering:

• Secured and unsecured lending to households; and
• Lending to non-financial corporations, small businesses, and to non-bank financial firms.

On supply, lenders reported that:

• the availability of unsecured credit to households increased in Q2 and was expected to increase further over the next quarter and
• the overall availability of credit to the corporate sector increased slightly in Q2. The availability of credit to small and medium-sized businesses remained unchanged in Q2, but increased slightly for large firms. The availability of credit to the corporate sector was expected to remain unchanged in Q3, across all firm sizes.

On demand, lenders reported that:

• demand for unsecured lending increased in Q2, across both credit cards and other unsecured lending, and was expected to increase further in Q3;
• demand for corporate lending from small businesses decreased, demand from medium-sized businesses decreased slightly, and demand from large firms increased over the same period. Demand for corporate lending from small and large businesses was expected to increase in Q3, and demand from medium-sized businesses was expected to remain unchanged.

Source: Bank of England