Extra £100m of funding ‘to be unlocked’ by British Business Bank

ANOTHER £50m of finance will be made available to businesses through the British Business Bank by the Government, which it expects will be doubled by match funding.

The money will be made available to regionally-focused commercial lenders, and through private-sector match-funding this is expected to unlock up to £100m of new lending for regional businesses through the likes of local banks and debt funds.

Announcing the new funds, Deputy Prime Minister Nick Clegg said: “Britain’s economy isn’t built solely around big business. In fact, smaller businesses represent 99% of all businesses in the UK. Therefore recognising and supporting this country’s smaller businesses to succeed is integral to strengthening our economy whilst building a fairer society. 

“I’m pleased to be unlocking this funding to ensure thousands of businesses aren’t held back by their size or location, helping smaller enterprises based outside of our capital city to grow, thrive and compete in the market.”

The British Business Bank does not provide funding directly to smaller businesses but works with partners to enable businesses to access finance from a wider range of sources.

In the year to September, 1,754 businesses in Yorkshire and Humber accessed finance through the British Business Bank of £151m – part of nearly £1.5bn that was funded nationwide.