“Then there is the small print: the lending “will be subject to its normal commercial objectives … as well as the availability of the required funding”, while that £190bn will only be lent “should sufficient demand materialise”. Nor is there any way of enforcing this target.”
How could it be any different?
No, seriously, think about it for a moment.
How can you enforce a lending target if sufficient demand doesn’t materialise? And why on earth would you want banks to lend without it being subject to normal commercial objectives…..like the borrower being able to repay the loan?
Seriously? You’d like the banks to be just shovelling the money out the door any old how, to anyone at all, whether they can repay or not? You know, so that we can rescue the banks again in a couple of years’ time as £190 billion of loans don’t get repaid?
And you have noticed that the corporate sector is sitting on more cash than it ever has done before, yes? That by and large companies don’t need to borrow as they already have stacks of cash to invest?