Total lending stocks stand at £55.6 billion, while deposit levels are at £54.5 billion. Commenting on the data, BBA statistics director, David Dooks, said: “Recent Bank of England surveys have suggested that while the availability of finance for business has been improving, loan application volumes are subdued. BBA figures show small business demand for new loans is running below corresponding levels of a year earlier and appears to have stabilised at just under £600 million a month.
“This lower volume of lending is not surprising, as small businesses, under pressure from difficult trading conditions, are repaying borrowing and postponing their investment intentions. Despite this economic backdrop, structured lending to small businesses continues to rise and is 4% higher than a year earlier, while more than 2,000 small businesses are establishing a new banking relationship every working day.”