View more on these topics

Barclays says no to lending targets

Barclays would refuse to sign up to any government lending targets because it says it would encourage irresponsible lending.

Steve Cooper, head of the small business division at Barclays, told the Financial Times that banks were facing pressures from capital requirements.

The coalition agreement has pledged to introduce net lending targets for state owned banks.

But Cooper says: “I don’t want to create an expectation that if Barclays said no yesterday it could say yes tomorrow [because it has a target to achieve].”

He adds that there has been a real shift in risk profile and banks are required to hold a lot more capital.

Recommended

MARK CLINTON, DIRECTOR OF DISTRIBUTION, INTELLIFLO

Track down clients who need your help

Our industry seems to be full of research papers, surveys, indices and tally-ups on the back of cigarette packets. While it’s sometimes hard to keep up it’s also difficult not to be aware of how, what and where products and services are being bought, sold and advised upon. For example, a recent news story stated […]

Grainger’s buyout of Sovereign limits equity release field

The news that Sovereign Reversions, parent of Home & Capital, has been acquired by Bridgewater Equity Release owner Grainger, is good for funding. Home & Capital restricted its maximum release and property value earlier this year but Grainger has deep enough pockets to boost the funding of home reversion plans. On the other hand, this […]

Newsletter

News and expert analysis straight to your inbox

Sign up
Comments
  • Post a comment
  • paul 13th August 2010 at 4:32 pm

    Isnt it funny how you feel like you can say whatever you like… As long as you hit the pretty anon button?!?!?
    If they want to stop irresponsible lending i dont see the problem?

  • GMS 13th August 2010 at 4:07 pm

    At the end of the day the governmemt can have no influence over how Barclays choose to lend. The answer is quite simple. If the government believes that lending needs to increase then do itthemselves through the state owned banks. Once there looks to be a profit in it the others will follow suit. At that point the government will be in total control of lending.

  • david streat 13th August 2010 at 2:45 pm

    IF THIS ATTITUDE CONTINUES IT CAN ONLY DRIVE US BACK INTO RECESSION. THEY HAVE TO LOOK AT EACH CASE ON ITS OWN MERIT AND GET RID OF THE COMPUTER THAT SAYS NO. MY VIEW IS THAT ALL THE BIG BANKS LIKE THE RBS, HSBC ETC SHOULD BE BROKEN UP IN TO SMALLER BANKS THEREFORE BY HAVING SMALLER LENDERS IN COMPETITION WITH EACH OTHER THEY ARE ALL ON THE SAME LEVEL PLAYING FIELD OFFERING COMPETITIVE RATES TO THE PUBLIC, JOB DONE.