The British Bankers’ Association (BBA) has defended its members’ lending policies at the start of a week when it is anticipated many banks will report large profits for the last six months.

BBA chief executive, Angela Knight said: “Banks are well aware of their responsibility to society and our commitment to support the economy by lending to individuals and firms. The return of profitability to the banking sector is a positive sign and indicates that the sector is helping the UK economy move out of recession.