The Governor reviews financial and economic developments in 1984 and discusses current trends and future prospects in the market for consumer credit. Two major challenges face the industry in the years ahead-the likelihood of more restrained growth in consumer lending after the rapid increases since the abolition of hire purchase controls in 1982, and the prospect of increased competition, notably from the building societies. The Governor notes that the Bank welcomes any extensions of competition provided that such competition is on broadly equal terms and does not lead to imprudent lending and provided also that its results do not pose undue problems for monetary control.
Developments in consumer credit - a central bankers perspective - Governors speech