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Term Funding Scheme supplied £127bn of UK loans, confirms BoE
More than £127bn worth of loans have been made to homes and businesses through the Bank of England’s Term Funding Scheme (TFS) in the 18 months since its launch, figures showed today.
The scheme extended cheap money to banks and building society in the wake of the Brexit vote and closed for drawdowns at the end of February this year.
Lloyds Banking Group, Nationwide and Royal Bank of Scotland have been among the biggest users of the scheme, each tapping more than £15bn of funding.
Barclays and Santander have also drawn more than £10bn from the scheme.
It is thought the end of the scheme, along with rising interest rates, could usher in an increase in mortgage costs.
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Some critics of TFS said the scheme had kept mortgage and loan rates artificially low.