HSBC targets West Midlands SMEs with £500m lending pot

HSBC has allocated £500m for West Midlands SMEs in a new lending campaign.

The bank says the money will be used to aid the business growth plans of small and medium-sized firms.

Its new ‘Business of Growth’ report has identified Britain’s business growth potential for 2014.

The report predicts an increase in fixed investment – physical assets including machinery, premises and stock – of 7.1% in 2014.

This compares to a pre-recession average annual investment growth of 3.6%.

HSBC says that a significant amount of the lending it is providing its small to medium-sized enterprise (SME) customers is clearly earmarked to support growth.

It points to a number of strategies that businesses are adopting, including investing in new equipment to grow production capacity, smoothing out supply chains and payments cycle with working capital solutions, expanding into new markets (especially in emerging Asia) and purchasing new premises.

Roy Harris, regional commercial director, HSBC Midlands, said: “We have most definitely seen an improvement in business confidence in the West Midlands in recent months. 
 
“Our lending to businesses is growing, lending values have increased and growth planning discussions are on the up. 

“Importantly, the quality of lending proposals we’re receiving demonstrates that businesses are forward thinking and looking to position themselves to seize opportunities and achieve meaningful business growth. 

“The overall picture is very positive, and now is the time for businesses to access advice and support to help them plan and invest for growth, both domestically and internationally.”

HSBC is making almost £6bn of new lending available across its regional network with £500m allocated for West Midlands SMEs.

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