Better Business Finance

Better Business Finance campaign launches for SMEs

Better Business Finance will ensure SMEs have access to first class support and hands-on experience provided for free by the UK’s five largest high street banks.

New and transparent Lending Guidelines and an appeals process have been agreed, setting out the minimum standards businesses can expect when seeking loans and other services from the five banks, which make up the Business Finance Taskforce.

In addition, businessmen and women will be able to access information and assistance through a brand new and dedicated website.

Angela Knight, Chief Executive, British Bankers’ Association said:

“We are delighted to announce the launch of the Better Business Finance campaign.

“Businesses will now have access to a new set of Lending Guidelines, a commitment from the Taskforce banks for a transparent and monitored appeals process, an online information portal and regional roadshows, which will travel across the UK giving SMEs the chance to talk directly to the banks.

“The Better Business Finance campaign represents the banking industry’s continued commitment to providing small and medium sized businesses with the information and support that they need.” 

SMEs will be able to find out details of the campaign and a series of useful resources on a dedicated online portal, http://www.betterbusinessfinance.co.uk which, includes factsheets from how to write a business plan to alternative sources of finance.  A dedicated helpline is also available for businesses looking for support.

As part of the Better Business Campaign, the Taskforce banks have agreed to a set of cross-industry principles for their individual appeals process.  The banks’ adherence to these principles will now be monitored by an independent and external team of reviewers, led by Professor Russel Griggs OBE and supported by the consultancy firm Promontory.

Professor Griggs will produce an annual report on the overall effectiveness of the banks’ appeals process, which will be shared with the banks, government and various stakeholders.  Promontory will support Professor Griggs, conducting on-site and off-site monitoring of the banks’ appeal process throughout the year, as determined by Professor Griggs and work with him in preparing the annual report. 

For further information or to arrange interviews, please contact Jenni Pain on 0207 822 1730 or at .(JavaScript must be enabled to view this email address)

Notes to editors

1) About Better Business Finance:  The Better Business Finance campaign provides impartial information and support to business customers looking to raise finance.  It is supported by the British Bankers’ Association and the banks involved are Barclays, HSBC, RBS, Lloyds and Santander.  It has been created to bring to life the recommendations of the Business Finance Taskforce.  Further information can be found at http://www.betterbusinessfinance.co.uk

2) About Business Finance Taskforce:  In October 2010 the Business Finance Taskforce, made up of the British Bankers’ Association, Barclays, HSBC, RBS, Lloyds, Santander and Standard Chartered published ‘Supporting UK businesses’ in response to the government’s green paper ‘Financing a private sector recovery’.  The report set out 17 initiatives to improve the banks’ relationships with their business customers, to ensure better access to finance and to promote greater understanding of the needs of businesses. Further information can be found at http://www.bba.org.uk/media/article/business-finance-taskforce

3) About Professor Russel Griggs: Born and educated in Edinburgh Professor Griggs has a degree from Heriot Watt University. He started his business life in marketing in the pharmaceutical industry.  In 1990 he was headhunted to join Scottish Enterprise in a business development role and became an Executive Director of Scottish Enterprise where he ran the investment banking and business development arms.  He also ran Scotland the Brand, the Scottish Science Trust, and was in charge of designing and building the Scottish Pavilion at Disney’s Epcot Theme Park in Florida for the Millenium celebrations.  Since then he has had a number of non executive positions in the private and public sector as well as running his own consultancy business which does a variety of strategic work for public bodies and private companies.

4) About Promontory:  Founded in 2001 Promontory is the premier global financial services consulting firm. Promontory is headquartered in Washington, D.C. and has offices in London and around the world.  Promontory’s London team is led by Michael Foot, who has four decades’ experience in financial services regulation and supervision. Mr. Foot joined Promontory from the Central Bank of The Bahamas, where he was Inspector of Banks & Trust Companies.  From 1998 to 2004, Mr. Foot was a Managing Director of the Financial Services Authority.  Prior to his services at the FSA, Mr. Foot served at the Bank of England for 29 years, in a number of posts of increasing responsibility, including head of the European and Foreign Exchange Divisions.  Mr. Foot and others on Promontory’s team of London-based experts maintain strong connections at the FSA and its global counterparts.  http://www.promontory.com

5) The principles agreed to by the Taskforce banks for businesses declined lending are:

• When an appeal is raised, the decision will be reviewed by a second person from within the bank who was not involved in the original decision
• The banks’ will consider all the information originally provided and ask for more where they think it is necessary
• The result of the appeal will be communicated to the customer in writing within 30 days
• If lending is still declined after an appeal, the bank will provide information on alternative sources of finance that may be more appropriate or provide support in another form, such as putting the customer in touch with a business mentor

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