UK banks plundering business arena

A report by the Bank of England has today cast an enormous shadow over the UK banking arena with news that £50 billion was repaid to the UK banking industry by small businesses between July 2009 and June of 2010. This means that in simple terms the UK banking arena received a net £50 billion from UK businesses at a time when more and more businesses are in desperate need of money to survive. So how can the UK banking arena justify this?

Over the last few weeks we have seen many UK banking executives moving onto the defensive to try and justify their current strategies. However, when you consider the billions upon billions of pounds of taxpayer's money which were poured into the UK banking arena to help support the economy and the sector, surely now is payback time for businesses and consumers?

The truth is that unless the banking arena comes forward with significant funding for small, medium and large businesses in the UK the UK economy will be in dire straits. While the net balance between payments and lending to the business sector may well have changed over the last few weeks the £50 billion figure is a mighty blow to the industry.