Lloyds group commits to lending £23bn this year
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Lloyds Banking Group has pledged £23bn in gross mortgage lending in 2010, but says this is not an indi-cation of what its overall lending will be.
Following last week’s Budget the banking giant says it expects to lend £67bn, excluding remortgages, to businesses and home owners over the next 12 months.
It has agreed to lend £23bn in total gross new mortgage lending, excluding remortgages, as well as an additional £3bn agreed under its mortgage lending commitment.
Lloyds group made the same commitment last year but says total gross mortgage lending between March 2009 and February 2010 was £25bn in new lending to home owners and first-time buyers, plus a further £10bn in remortgages.
Robert Sinclair, director at AMI, says: “The government assurances on lending appear attractive at a headline level.
But it should be noted that these organisations are indicating that they will be provi-ding less gross mortgage lending this year than last.
“We are dependent on other lenders and emerging firms to provide market growth.”
But a spokeswoman for Lloyds group says: “The gross lending figure we have pledged is not indi-cative of what we expect our overall gross lending to be, it is just our minimum commitment.”
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