Bank makes £550m available for Greater Manchester SMEs
Banking giant HSBC UK has today (March 10) launched a £550m fund for small and medium-sized enterprises (SMEs) in Greater Manchester.
It is part of a broader £15bn lending fund to support SMEs across the UK, to help British businesses innovate and grow as the country looks to rebound from the COVID-19 health crisis.
The fund, which includes more than £10bn of specific regionally focused allocations, will seek to ensure that companies throughout the country can benefit, supporting regional economies, employment opportunities and driving growth.
It also includes increased ring-fenced pots for businesses trading internationally (£2bn), the agriculture sector (£1.2bn) and ring-fenced pots for businesses in the tech sector (£500m) and franchise businesses (£500m).
Despite the challenging economic environment, 62% of UK businesses intend to increase investment in their business in the next year, according to research from HSBC, with the focus on four fundamental areas of their business in 2021 – employee wellbeing, customer experience, cash flow/capital management and security.
Almost three quarters (71%) of UK businesses expect to have returned to pre-pandemic levels of profitability by the end of 2022, and a fifth by the end of this year, plus nearly half of British companies (49%) are projecting sales growth.
Mike Hemingway, HSBC UK’s regional business banking director for the North, said: “We are committed to supporting businesses in Greater Manchester and we know they are adapting at pace and looking at what comes next.
“We recently helped Manchester headquartered door supplier UAP to pivot its business model amid the coronavirus crisis, helping it provide essential PPE (personal protective equipment) for its customers, with the backing of the SME Fund.”
Peter McIntyre, head of small business banking at HSBC UK, said: “With the vaccine roll-out, there is light at the end of the tunnel and businesses in Greater Manchester are starting to look ahead again.
“We’ve helped British business get through the last year with over £14bn of COVID-19 lending support. Now it’s time to turn our minds to what comes next and how we help companies grow again, opening up a world of opportunity and contributing towards a sustainable future society.”
Since launching the SME Fund in 2014, HSBC has lent more than £75bn to UK SMEs as part of its commitment to help British businesses innovate, evolve and grow. It has also lent more than £14bn during the pandemic, so far.
