Banks continue to grow deposits as loan books shrink

Irish banks are continuing to deleverage by shrinking their loan books and increasing their deposit books, according to the latest set of banking statistics from the Central Bank.

Loans to Irish households fell by 3.7% for the 12 months to the end of October, the same rate of decrease to the end of August and September. Mortgage lending was 1.9% lower on an annual basis in October, while lending for consumption and other purposes was down 8.6% for the same period.

Lending to businesses fell by 4.2% for the 12 months to the end of October.