14-05-2008
Alliance & Leicester admits lending decrease
News by Adfero for Simply Business - independent providers of public liability insurance, business finance, landlord insurance, buy-to-let mortgages & commercial mortgages.
Alliance and Leicester (A&L) have admitted that there had been a severe decrease in the amount of unsecured personal lending in the first quarter of 2008, according to the Financial Times.
A&L also revealed that during the first four months of this year there has also been a slowdown in its mortgage lending including buy-to-let mortgages.
There was a total of £192 million of writedowns on Treasury assets and credit assets between January and April. During the entire year of 2008 the total was only £185 million.
Alex Potter, at Collins Stewart in a note to clients, commented: "We would actually have hoped for more positive news due to April’s credit market improvements. We had assumed just £70m of write-downs."
The world's financial markets are getting ready to absorb the effects of another blow from the global credit crisis, according to reports by Reuters.