Financial Times FT.com

Credit squeeze touches corporate borrowers

By Delphine Strauss

Published: October 1 2007 14:03 | Last updated: October 1 2007 14:03

Interest rates charged on corporate loans rose sharply in August and growth in lending to individuals slowed, according to data released on Monday by the Bank of England that gave further evidence market troubles were feeding through to the real economy.

The average interest rate for new corporate loans fixed for up to a year - the biggest category of fixed rate corporate debt - rose by 41 basis points between July and August, and 100 basis points over two months.

You have viewed your allowance of free articles. If you wish to view more, click the button below.

Read this