Funding For Lending Scheme Withdrawn For Homebuyers

Bank of England governor Mark Carney withdrew the Funding for Lending Scheme for homebuyers following signs of economic recovery in the UK. Now that the UK housing market has recovered, the full weight of the funding for lending scheme will be directed towards the promotion of lending to small businesses.

The basis of the funding for lending scheme has not changed. The Bank of England will continue to provide cheap finance to UK banks provided that the money is used to lend to small businesses. This is good news for UK business with the UK economy showing signs of recovery and the promotion of increased lending to small businesses.