Competition For British Banks

[bogbrush]

http://www.ft.com/cms/s/0/c1cb24fe-7897-11...144feabdc0.html

With my friendly neighbourhood Relationship Director telling me 3% above base is the future (and we have interest cover of 30, low gearing and a consistent profit growth) I'll be keen to see if anyone will bring competition to the cartel - sorry, market.

Lending from capital resources! Whatever next!!!!

[worzel]

http://www.ft.com/cms/s/0/c1cb24fe-7897-11...144feabdc0.html

With my friendly neighbourhood Relationship Director telling me 3% above base is the future (and we have interest cover of 30, low gearing and a consistent profit growth) I'll be keen to see if anyone will bring competition to the cartel - sorry, market.

Lending from capital resources! Whatever next!!!!

3% above the current base rate does not sound outrageous given the artificially low base rates and prevailing economic environment. When rates return to a more realistic level and in a more benign economic enomic environment, I would expect this premium to reduce. If your relationship director is anything like mine, there is not that much between the ears so his information is not to be relied upon. This is not to say there is cartel like behaviour going on.