Liberal Democrat Secretary of State for Business, Innovation and Skills Vince Cable has announced today that the British Business Bank will be given £250m for new programmes to help small businesses grow.
The intent to set up a British Business Bank was announced by Vince Cable at the Liberal Democrat Autumn Conference in September 2012 with £1bn of new funds to get money flowing to small businesses as fast as possible to help them expand.
This latest cash boost will support a range of new innovative interventions including capital support for new businesses.
Liberal Democrats in Government are committed to helping small business in order to boost growth and rebalance the economy.
The British Business Bank will be based in Sheffield.
Commenting, Liberal Democrat Leader and Deputy Prime Minister Nick Clegg said:
“Liberal Democrats are building a stronger economy in a fairer society enabling everyone to get on in life.
“Small businesses are working hard to fuel our recovery and help us build a stronger economy.
“I am determined that we do all we can to help companies that have struggled to get the investment they need. Investment that means they can employ those extra people, take on that new order, and buy new equipment.
“The British Business Bank will give smaller companies who have struggled to get loans in the past easier access to millions of pounds of cash to grow and create more jobs.”
Business Secretary Vince Cable said:
“The British Business Bank is the second bank this Government has set up since 2010 and is focused on helping SMEs grow.
“It is a new long-term institution which is helping to create more competition in the banking sector and give access to finance to businesses who are currently struggling with high street banks, to get the cash they need to invest in their future growth.
“Since I announced this initiative more than 10,000 businesses have already been helped and this new money will help it do more of that. The British Business Bank is fixing a big long term problem in our banking system and it is set to unlock up to £10bn of finance over the next five years to help small and medium sized businesses grow”