UK households and businesses continued to increase their deposits in banks and building societies in May. Sterling money held by households, non-financial businesses, and financial businesses rose by £52.0 billion, following large increases in March and April. Corporates borrowed an extra £7.4 billion from banks in May, as well as raising £3.5 billion from financial markets. The borrowing from banks was more than accounted for by a sharp increase in borrowing by SMEs of £18.2 billion, with large businesses repaying £12.9 billion of loans. The cost of PNFC’s new borrowing fell in May, with effective rates falling by ... (full story)