This report presents the results of the 2024 Q1 survey. It was conducted between 26 February and 15 March 2024. The results are based on lenders’ own responses to the survey and are reported as net percentage balances.
Availability of secured credit to households is expected to increase in the 2nd quarter..
Availability of unsecured credit to households was unchanged in Q1 and was expected to remain unchanged in Q2.
Overall availability of credit to the corporate sector was unchanged in Q1. Availability for small businesses increased, availability for medium business was unchanged and availability for large businesses slightly increased in Q1.
Demand for secured lending for house purchase and remortgaging increased in Q1, and both were expected to increase in Q2.
Overall demand for unsecured lending increased in Q1 and was expected to increase in Q2.
Demand for other unsecured lending was reported to have remained unchanged, and was expected to increase in Q2.
Demand for corporate lending from small businesses was unchanged, demand from medium-sized businesses and large firms slightly increased in Q1
Overall spreads on secured lending to households – relative to Bank Rate or the appropriate swap rate – were unchanged in Q1 and were expected to be unchanged in Q2.
Spreads on corporate lending to small businesses slightly widened, narrowed for medium-sized businesses, and were unchanged for large businesses in Q1. Spreads on lending to businesses of all sizes were expected to be unchanged over the next three months.
Default rates on secured loans to households increased and losses given default decreased in Q1. Both were expected to increase in Q2.
Default rates on loans to corporates slightly increased for small and medium businesses and were unchanged for large businesses in Q1. These were expected to increase slightly for small businesses, expected to increase for medium-sized businesses, and expected to be unchanged for large businesses in Q2.