tailieunhanh - Trends in Lending January 2012

Concentration ratios are perhaps the most frequently used indicator of banking sector competitiveness, with a high share of assets controlled by a small number of banks typically interpreted as indicative of a low level of competition. Bank spreads (the difference between lending and deposit rates) are also often used as indicators of banking efficiency and competition, with higher spreads and margins interpreted as an indication of greater inefficiencies and lack of competition in the banking sector. Measures of bank profitability have also been used (although to a lesser extent) to assess the degree of market power held by individual banks,. | Trends in Lending January 2012 ỂB BANK OF ENGLAND w BANK OF ENGLAND Trends in Lending January 2012 This quarterly publication presents the Bank of England s assessment of the latest trends in lending to the UK economy. 1 It draws mainly on long-established official data sources such as the existing monetary and financial statistics collected by the Bank that cover all monetary financial institutions and on newer data collections established since the start of the financial crisis to cover the major UK lenders some of which are being extended across a wider range of reporters. 2 These data are supplemented by discussions between the major UK lenders and Bank staff giving staff a better understanding of the business developments driving the figures and this intelligence is reflected in the report. 3 The major UK lenders 4 are Banco Santander Barclays HSBC Lloyds Banking Group Nationwide and Royal Bank of Scotland and together they accounted for around 70 of the stock of lending to businesses 45 of the stock of consumer credit and 75 of the stock of mortgage lending at end-June 2011. The report also draws on intelligence gathered by the Bank s network of Agents and from market contacts as well as the results of other surveys including the Bank of England s Credit Conditions Survey. The focus of the report is on lending but broader credit market developments such as those relating to capital market issuance or trade credit are discussed where relevant. The report covers data up to November 2011 and intelligence gathered up to end-December 2011. Unless stated otherwise the data reported cover lending in both sterling and foreign currency expressed in sterling terms. 1 See statistics for future publication dates. 2 For more information see statistics ms articles and the box on a new data collection on lending to businesses in this edition of Trends in Lending. 3 For a fuller background please refer to