MPs warn that UK's Basel 3.1 lending rules may harm small businesses by raising costs and reducing finance.
MPs warn that new UK lending rules, part of the Basel 3.1 package, could harm small businesses by raising borrowing costs and reducing the availability of finance. The Treasury Committee's report highlights the PRA's plan to remove the "SME supporting factor," which allows banks to reduce capital requirements for small business loans, and claims this could hinder the competitiveness of British SMEs compared to their European and American counterparts.
May 07, 2024
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