BBA statement on fifth quarterly SME Finance Monitor
"Banks continue to provide credit to businesses and to support customers through a range of initiatives aimed at helping businesses access the finance they need.
“For many firms credit is simply renewed without any fuss or bother but it needs to be remembered that only a little over one in ten businesses want to borrow at any time. Most do not need, or want, external funding and for many others the current economic climate is too uncertain for them to want to take on debt. In many cases, as interest rates are historically low, those with credit are paying off their loans and overdrafts rather than taking out more credit. But businesses which want to borrow should not be put off. Businesses with a sound track record and robust business plan will undoubtedly find securing credit easier but anyone wanting to borrow should approach their bank where they will be guided through the help available and signposted to alternative sources of support and funding if their bank cannot help at that time.”
A full copy of the SME Finance Monitor is available at: http://www.sme-finance-monitor.co.uk/
The BBA Taskforce was set up in July 2010 to review the key issue of bank finance and how the banks could help the UK to return to sustainable growth. It has made a commitment to fund this independent survey to identify (and track) business demand and needs.
The SME Finance Monitor is a series of independent quarterly reports of which this is the fifth. 5,000 telephone interviews were conducted for the research between April and June 2012. Quotas were set by size, sector and region, to a carefully constructed sample design that ensured that sufficient interviews were conducted with businesses of all sizes to allow for robust analysis. The results have then been weighted to be representative of SMEs with up to 250 employees and a turnover of less than £25 million. The respondent was the person identified as the main financial decision maker. In total 25,088 surveys have been completed since the research began.
A further 5,000 interviews are currently being conducted between July and September 2012. Results will be reported in December 2012.
The survey work is being overseen by the Business Finance Roundtable which comprises business groups and banks.
The Business Finance Round Table represents a unique body of stakeholders in this field and comprises:
- Association of Chartered Certified Accountants
- British Bankers’ Association
- British Chambers of Commerce
- British Marine Federation
- British Venture Capital Association
- Confederation of British Industry
- Engineering and Machinery Alliance
- Engineers Employers Federation
- Federation of Small Businesses
- Forum of Private Business
- Growth Companies Alliance
- Institute of Chartered Accountants in England & Wales
- Institute of Directors
- Quoted Companies Alliance
- Barclays Bank
- Lloyds Banking Group
- HSBC Bank
- RBS Group
- Santander UK