RTTNews reports that according to the Credit Conditions Survey from the Bank of England, British lenders expect loan defaults to rise in the fourth quarter.

Lenders reported that the default rates on secured loans to households remained unchanged in the third quarter but was expected to increase in the fourth quarter.

At the same time, default rates for total unsecured lending decreased in the third quarter but were forecast to climb in the quarter ahead.

Defaults rates on loans to corporates remained unchanged for small businesses in the third quarter but increased for medium and large businesses. These balances were expected to increase for all business sizes in the fourth quarter.

The quarterly survey was conducted between September 1 and 18.