Commenting on the launch by the Bank of England and HM Treasury of the Funding for Lending Scheme, Adrian Coles, Director-General, said:
"Building societies and other mutual lenders are currently very active in the mortgage market so we have been looking forward to seeing the details of the Funding for Lending Scheme (FLS). Mutuals have seen strong growth in lending so far in 2012, with gross lending up 40% in the first five months compared to the same period in 2011. In comparison, bank lending was up just 4%.
Mutuals are keen to continue to play their part in supporting homebuyers, and we will be studying the details of the scheme carefully. We are encouraged that the scheme incentivises those firms, such as mutuals, that are already increasing their lending, to expand further. We look forward to working with the Bank to ensure that mutual lenders of all sizes that want to participate in the FLS are able to do so."
BSA press office: 020 7520 5905 / 020 7520 5904
Notes to Editors
1. The Building Societies Association (BSA) represents mutual lenders and deposit takers in the UK including all 47 UK building societies. Mutual lenders and deposit takers have more than 32 million customers, total assets of over £375 billion and, together with their subsidiaries, hold residential mortgages of nearly £240 billion, 19% of the total outstanding in the UK. They hold more than £250 billion of retail deposits, accounting for 22% of all such deposits in the UK. Mutual deposit takers account for 34% of cash ISA balances. They employ approximately 50,000 full and part-time staff and operate through approximately 2,000 branches.
2. Photographs of Adrian Coles are available from the BSA press office, or from the Association's website at www.bsa.org.uk or Headlinemoney www.headlinemoney.co.uk
Policy and External Affairs Officer
Building Societies Association
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