20/11/2008 - Brown vows to encourage lending
The Government will take "all measures necessary" to get the banks lending again to small businesses, Gordon Brown has announced.
The Prime Minister said ministers were ready to bring forward proposals "very, very soon indeed" to get the banks to "accept their responsibilities".
In the Commons, Mr Brown repeatedly came under fire at Prime Minister's Questions over the failure of the banks to restore credit lines to small firms, despite the Government's bail-out of the banking sector.
Tory leader David Cameron warned that businesses were being "strangled", while Liberal Democrats leader Nick Clegg accused the Prime Minister of being "complacent" in the face of the banks' refusal to co-operate.
Mr Brown told MPs that ministers and officials were meeting the banks and building societies "almost every second day" to try to resolve the problems.
"We will be bringing forward proposals very, very soon indeed," he said.
"The banks have got to accept their responsibilities. We have done what we can, they have to accept their responsibilities to act in a manner that is responsible and fair.
"We will take all measures necessary to help small businesses get the loan capital they need."
Copyright © Press Association 2008
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