Last year, the Bank of England started the Funding for Lending Scheme, which let banks borrow at low rates in the hope they’d lend it to people and businesses. To date, more than 16 billion pounds have been borrowed, yet, loans outstanding have dropped by 1.8 billion pounds. Lending conditions have been better for households than businesses, but businesses are also wary to borrow more until the economy shows better signs of improvement.
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'This too shall pass.' Then what?
Here's how insurance organizations are trying to explain what's going on now.
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