RTTNews - Monday, a survey from the Confederation of British Industry showed that firms in the UK are finding it easier to access credit for the first time in 2009 and expect the situation to improve at a similar pace over the coming three months.

According to the latest Access to Finance Survey, nearly 27% of firms said credit availability had improved, while 10% said conditions had deteriorated, resulting in a net balance of positive 18%, following a negative 20% reported in May. This was the first improvement since the survey began in January.

Richard Lambert, Director-General of CBI said, The improvement in access to new credit will help many businesses struggling with the recession, and it is encouraging that its supply is expected to improve in the months ahead.

At the same time, small and medium sized enterprises reported a moderate decrease in the availability of existing credit lines and expect a similar tightening over the coming three months.

However, the CBI found that cost of finance has continued to increase and experienced another marked deterioration in the availability of trade credit insurance. Half of firms saw a rise in the cost of new credit over the last three months and around 57% felt availability of trade credit insurance worsened during the period.

Around 73 firms participated in the Access to Finance Survey, which was conducted between July 15 and 24.

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