Moody’s downgrades banks as mortgages margins squeezed

Moody’s has reduced its outlook for UK banks from ‘stable’ to ‘negative’. It said that while Brexit had eroded the country’s growth prospects, “persistantly low interest rates and increased mortgage market competition” was squeezing margins. It anticipates mortgage-lending to be reined in as margins become less attractive. Nationwide last month said that it would lend less in some areas due to shrinking margins. The FT (£)