The bank margin in the standard case is 214 basis points (bps), up by one bps from the previous survey. It has thereby flattened out after declining for three quarters in a row. However, the margin is still 11 bps higher than it was at 1 January 2020.

The five-year swap rate has risen by 19 bps to 1.46 per cent. Overall financing costs for new five-year loans, with interest-rate hedging throughout, is thereby 3.60 per cent. That means the all-in financing cost is 20 bps higher than before and up by 68 per cent from the same time last year.

At the same time as long-term rates are continuing to rise, the interbank rate (three-months Nibor) has declined and is currently 0.26 per cent. That is down by 21 bps from the first quarter. This means a floating interest rate is record-cheap. Moreover, the gap between a floating rate and one fixed for five years has increased substantially and is the widest in 10 years.