UK M4 lending
UK M4 lending stood at £106,434m in Sep 2026, according to Bank of England. It is one of the indicators in the Money supply and central bank balance sheet table (Value · Monthly), with a complete series running from Jun 1969 to Sep 2026. The complete series with an interactive chart, free to download.
This indicator in the Money supply and central bank balance sheet table
| Indicator | 09-2026 | 08-2026 | 07-2026 | 06-2026 | 05-2026 | 04-2026 | 03-2026 | 02-2026 | 01-2026 | 12-2025 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| M4 lending | 106,434 | 106,228 | 106,050 | 105,509 | 105,170 | 104,608 | 103,574 | 102,945 | 103,348 | 104,273 | |
| Notes and coin in circulation | 106,589 | 106,202 | 105,876 | 105,493 | 105,064 | 104,688 | 104,281 | 103,798 | 103,969 | 102,489 | |
| Reserve balances at the Bank of England | 45,364 | 46,807 | 56,258 | 38,095 | 36,697 | 37,245 | 35,396 | 36,409 | 36,087 |
Understanding UK M4 lending
Total credit in sterling extended by UK banks and building societies to the domestic private sector forms the basis of M4 lending. The measure counts outstanding loans, advances, overdrafts, and holdings of sterling commercial paper and securities issued by private borrowers, while omitting credit extended to central government or non-residents. It operates as the asset counterpart to broad deposit liabilities, encompassing lending to families, trading firms, and non-bank financial intermediaries.
Raw lending numbers are sensitive to large securitisation operations and loan sales, where packages of loans are transferred off bank balance sheets, causing artificial statistical contractions unless adjusted for flows. Reclassifications between sectors and write-offs of non-performing debt also induce accounting breaks. Examining rolling annual movements provides a more dependable gauge than monthly fluctuations, which often reflect lumpy corporate syndicated facilities or short-term institutional borrowing.
Frequently asked questions
- Does M4 lending cover foreign-currency loans to domestic residents?
- No, it measures credit extended in sterling, excluding foreign-currency lending.
- How do loan securitisations affect the reported stock of M4 lending?
- Transferring loans to off-balance-sheet vehicles can abruptly reduce the recorded stock unless tracking transaction flow series adjusted for derecognition.
- Why does M4 lending differ from the M4 money stock?
- Lending captures bank assets created via loans and securities, whereas money stock measures the corresponding deposit liabilities held by non-banks.