There is little doubt at present that the banks are doing some very wierd things – especially in the business sector.

Several reports reaching me that banks are deliberately squeezing small business clients by withdrawing overdrafts and covertly reducing factoring facilities. While giving lip service to the Government’s alleged support for SMEs, in practice this seems the last thing the banks are actually doing. And yet – just last week I arranged short term extension overdraft facilities with two banks to give vital short term support to small businesses, so not all bankers are bad!! (Although one did charge a three figure sum for a very small extension.) Some real consistency would be most welcome.

More gripes, ridiculous interest rate margins – business and personal sectors – and huge fees for simple facility renewals. Generally not a very encouraging picture. But at the other end of the scale investment bankers are talking to us about innovative new structures to enable funding multi-million dollar projects, so clearly there is still an appetite for turning an honest dollar, pound or euro. It’s strange how swiftly things seem to be returning to ‘normal’ in some areas – surely it’s only a few months ago that the financial world was in terminal meltdown?