Some members of the Bank of England's new Financial Policy Committee are concerned that it could struggle to spot excessive lending, a skill needed to use new powers that it is seeking.

The FPC held its first meeting in June, and the government plans to give it statutory powers from next year, putting it at the apex of Britain's post-crisis system of financial regulation.

In a record of the March 16 meeting, at which the FPC agreed to ask for powers to impose sector-specific capital requirements on areas where bank credit might grow too fast, some officials said this could prove hard.

Some members noted ... that it may prove difficult for the FPC to identify over-exuberant lending to narrowly defined categories of exposure at an early stage, the record published on Wednesday said.

These members were also worried that sector capital requirements would probably have to be increased significantly to have much effect in restraining lending because exuberant sectors usually appeared highly profitable.

Members agreed that the FPC would need to avoid an excessively activist, fine-tuning approach in setting any sectoral capital requirements, the record said.

The FPC also said that its sectoral capital requirements should purely be used for financial stability purposes, and not to boost particular lending categories.

Last week the FPC urged banks to raise new capital as soon as they could, and also asked for statutory powers to set leverage ratios, countercyclical capital requirements an d specific capital requirements for more risky lending.

However, it surprised some observers by not asking for powers to set maximum loan-to-value ratios and loan-to-income ratios, citing a lack of public acceptability.

In the record, some members also said it would be hard to calculate sustainable levels of property prices needed to set such ratios.

(Reporting by David Milliken and Sven Egenter)