Latest statistics from the UK Finance’s business finance for April 2018 has revealed that UK business borrowing contracted slightly by 1.7 percent in the last 12 months. However, within industry sectors, there was a mixed picture with manufacturing maintaining strong growth at 8 percent while construction contracted by 6.3 percent in the year.

In addition, UK business deposits grew by 4.4 percent in the last 12 months down on the previous six month average of 6 percent.

Commenting on the data, Stephen Pegge, Managing Director, Commercial Finance at UK Finance said “Overall demand for finance amongst businesses remains subdued. There has been some fluctuations in business borrowing, particularly in the construction and real-estate sectors. This reflects ongoing economic uncertainty, as firms continue to build their deposits and carefully consider long-term investment decisions.”