HSBC has committed to increase its yearly small business loan fund by £2 billion and spend £14 billion on helping small and medium-sized enterprises (SMEs) across the UK realise their ambitions for growth and navigate Brexit. Since 2014, the bank has distributed more than £60 billion worth of funding to UK SMEs.
The bank has said that this year’s allocation of funding has been increased to help businesses navigate Brexit during economic uncertainty, and has doubled the amount of funding for international businesses wanting to grow overseas to £2 billion while increasing the agriculture pot to £1 billion from £300 million last year.
HSBC has also pledged to help businesses based in different regions across England, Wales, Scotland and Northern Ireland. The London funding pot has benefitted many SMEs across the capital, including a sparkling wine brand, which has secured a financial package worth £225,000 to research, develop and launch new products globally. Meanwhile, the bank has given £350 million to SMEs across Tyne Tees and Cumbria.
In addition to providing funding, to help its customers understand the impact of Brexit and what they need to do to prepare, the bank has launched a dedicated helpline for customers with Brexit-related financial concerns and set up an online resource hub which provides support and advice on the steps businesses should take to plan for the future.
Nigel Fry, General Practice Partner at Milsted Langdon, said: “The increase in HSBC’s small business loan is positive news for UK SMEs. The increase in funding available is vital to help businesses foster innovation, creativity and to prepare for the future.
“For advice on matters relating to corporate finance, contact our expert team today.”