JLL sees no thaw in lending freeze

Jones Lang LaSalle’s latest 2011 lending survey says greater liquidity in the UK lending market has failed to materialise.

City investment director Andrew Hawkins said: “A year ago we predicted greater liquidity than we are now experiencing and the outlook is challenging.”

The survey’s findings were:

  • Refinancing will continue to account for 50% of banks’  activity in the next two years;
  • Lenders are reluctant to take on risk; 68% of respondents are focused on prime deals.

Bank of England figures show property lending in Q4 2010 fell  £16bn to £221bn, the largest fall since the series began in 1987.