The BoE has said that lending to businesses in the UK has fallen by a further £4.8bn in the three months to February. That represents a fall of 4.4% in loans to companies and small firms from the same period a year earlier. The Bank also said that the mortgage market was "broadly unchanged". The BoE's figures show that loans to construction firms and house builders were particularly weak. Lending to the real estate sector fell by 5.3% in December 2012 from a year earlier, the sharpest drop for more than three years. The Bank also said that those banks participating in the Funding for Lending Scheme were lending less money overall to households and businesses in the second half of 2012 than they were in the previous six months.
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