British Banks Take Advantage of Cheap Loans The European Central Bank is keeping mum about which firms stepped up for the latest round of cheap loans, fearful of the potential stigma. But some big British banks aren't being shy about sharing their plans for the latest round of money. On Friday, Barclays announced that it had borrowed 8.2 billion euros, or $10.9 billion, from the central bank. Others have made similar moves: Lloyds tapped the facility for $18.2 billion; the Royal Bank of Scotland took out $6.6 billion; and HSBC, $464 million. Banks across the Continent are taking advantage of the cheap money. Last year, the central bank set up the so-called long-term refinancing operation to help financial firms struggling amid the sovereign debt crisis. Under the lending facility, banks can borrow money for three years at ultra-low interest rates. It has provided a critical lifeline for the industry. In the first round, the central bank loaned out 489 billion euros, or $648 billion. Last month, 800 banks asked to borrow $702 billion, more than initially anticipated. While the money has helped stabilize the industry, firms remain reluctant to lend to companies and consumers. In a sign of banks" wariness, the central bank said on Friday that overnight deposits from institutions hit a record high of $1 trillion. Barclays said it planned to use the money to finance operations in troubled countries like Portugal and Spain. "This long-term facility will provide funding stability to those businesses" the bank said in a statement. The financial firm added that the money would help address "the new market reality without harming the real economy, especially our extensive consumer, small business and commercial banking activities in these markets."