DanAronG
Joined: 17 Oct 2008
Posts: 103
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| Posted: Tue Feb 24, 2009 12:10 pm Post subject: Lloyds to increase mortgage lending |
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Lloyds Banking Group is set to pledge billions of pounds for extra mortgage lending in return for the government dropping its £480m interest bill.
The government is keen to find quantifiable ways of ensuring increased lending and is prepared to convert £4bn of preference shares if the bank will commit to increasing lending in a bid to combat the recession, which is somewhat fuelled by the lack of availability of credit.
This comes just days after Northern Rock announce plans to increase mortgage lending to £14bn over the next two years, confirming that the government sees the mortgage industry as key to steering the economy through these turbulent times. |
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