Lloyds targets SMEs and mid-market with new lending scheme

LLOYDS Banking Group has joined the clutch of banks striving to offer finance support to the SME and mid-market sectors.

The bank has today launched what is describes as a “competitive new lending offer” aimed at increasing the volume of work it conducts in the twin sectors.

The offer is being implemented under the banner “Lloyds Funding for Lending”, which utilises the Government’s Funding for Lending Scheme.

This allows UK businesses to benefit from reduced funding costs and will offer:
•    A 1% reduction in the interest rate for new business loans and hire purchase
•    A discount for the full term of the loan
•    A minimum loan amount  of £1,000 with no maximum limit
•    And it will be available to all SME and mid market customers, regardless of the sector  that they operate in

Lloyds said the scheme allowed businesses to take advantage of reduced borrowing costs in order to boost their growth plans and support future investment.
 
The scheme follows on from the successful completion of the Government’s National Loan Guarantee Scheme, where Lloyds committed all of its £1.4bn allocation to SME customers.  
David Oldfield, Managing Director – Commercial, Lloyds Banking Group, said: “As part of our commitment to help Britain prosper we are determined to provide simple, transparent and competitive funding to ‘UK plc’.

“SME and mid market businesses are vital to the future growth of the UK economy and that is why we are committed to passing on the full benefit of reduced funding costs to them so as to support their growth and investment plans. ”

The Lloyds Funding For Lending scheme is available to all SME and Mid Market businesses extending up to those with a £250m turnover.