LONDON (Reuters UK) -The government is still in talks with banks about increasing lending into the economy and will make proposals soon, Prime Minister Gordon Brown said on Wednesday.
"We are in discussions with the banks and every one of the banks about, first of all, how HBOS, Lloyds TSB and Royal Bank of Scotland achieve their promise that they will have activity for lending and marketing of lending at the level of 2007 and secondly how all the banks can resume funding," Brown told parliament.
"We are bringing forward proposals very soon indeed."
Brown also said it was right to use fiscal policy to boost the economy.
