Karim Haji, Global and UK Head of Financial Services at KPMG, comments on today’s Q1 Credit Conditions survey from the Bank of England:
“Considering inflation is now falling and is expected to drop to below the Bank of England’s 2% target in the months ahead, rising demand for credit card lending in Q1 suggests a more positive economic outlook hasn’t fed through to household finances yet.
“Defaults across all unsecured lending increasing over the same three-month period indicates many people are still struggling to meet their day-to-day costs. Lenders will need to be vigilant and continue to offer support for borrowers in the interim.”
