18 August 1995

Bank lending up

TOTAL bank lending to UK agriculture in the three months to June stood at £6.516bn, £40m more than at the same time last year.

"It is premature to suggest the lending market has turned around after three years steady decline," said Norman Coward of Midland Bank. "But certainly it may have bottomed out.

"Those farmers who needed to reduce their borrowings have done so, and others now have the confidence to re-invest," he said.