Paragon, the Buy to Let lender has announced to the market this morning that it’s struggling to obtain monies to lend.

In a stock exchange announcement, the troubled lender has stated that it lent £4 Billion last year, mostly to the buy to let market and to access a funding line to continue this level of lending is just too expensive. Bank of England rates maybe?

Paragon’s share price dropped 45% by 9.20 a.m. this morning as they described the current market as “immensely disruptive” - which basically means they’re out of the game in these credit crunch times. It’s the same as Northern Rock but without the despositors to protect, so this one can just go by the wayside as no government intervention is required to protect savers.

I wonder who will be singing “we are the champions” at the end of all this?

You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.