UK businesses suffered the biggest monthly fall on record in July, according to latest figures from the Bank of England .
The Banks latest trends in lending survey revealed that net lending to companies by Britains major lenders fell by £15.5 billion in July, following a £3.6 billion drop in June.
The survey suggested that the level of business lending was likely to drop even further, adding to fears that efforts to open up the credit lines are yet to have an effect.
"Major UK lenders indicated that their stock of lending to businesses fell further in August," the Bank said.
It added that the outstanding stock of loans to businesses by UK resident foreign lenders had reduced considerably in recent months.
"That is consistent with reports from market contacts of an increased bias towards domestic lending among banks internationally," the Bank said.




