UK bank offers extra cash amid credit squeeze

The Bank of England will today offer additional reserves to lenders as part of a global attempt to tackle the deepening credit crisis.

The BoE, the US Federal Reserve, the European Central Bank, the Bank of Canada and the Swiss National Bank unveiled a co-ordinated plan last week to ease an impending new year freeze in wholesale money markets.

Each of the banks announced that they will pump additional reserves into their respective systems to help free up credit.