Figures from the Bank of England show net lending by FLS participants rose £0.5bn over the two months following the launch of the scheme.
Each participant is able to borrow up to 5 per cent of its existing loans to the UK non-financial sector.
The groups now participating in the scheme represent approximately 80 per cent of the stock if lending to the real economy in the UK. The five new participants are Melton Mowbray Building Society, Progressive Building Society, Shawbrook Bank, Yorkshire Building Society and Leek United Building Society.
The number of institutions which had signed up to the scheme rose by 17 to reach 30 by the end of October.
Below is an easy to understand infographic created by the Treasury to explain how the FLS works.