UK: Consumer borrowing continues rapid growth - Fitch

"The volume of credit card borrowing continued to grow in 2Q17, reaching levels not seen since 2008, despite a perceived tightening of underwriting standards for the second quarter running, according to the Bank of England 2Q17 Credit Conditions Survey," Fitch Ratings said in a recent report on Tuesday.

Key takeaways:

• The UK household savings ratio has reached an all-time low of 1.7%, suggesting increased financial pressure on UK households
• Fitch believes this may be due to negative real disposable wage growth
• The growth in consumer borrowing has attracted regulatory attention, with the Bank of England increasing the countercyclical capital buffer rate to 0.5%, from 0%, with the intention of increasing it further to 1% in November 2017