The Finance & Leasing Association (FLA) has
called for a government guarantee scheme to kick-start leasing
finance for SME customers.
called for a government guarantee scheme to kick-start leasing
finance for SME customers.
Over the next 12 months, the Association wants
to see guarantees written for up to 70% of the value of new leasing
deals. In return for these guarantees, it suggests that lessors
would be required to pay the government a 1 per cent annual fee on
the outstanding values of guaranteed leases.
The scheme would match the Enterprise Finance Guarantee Scheme
announced in January to support bank loan finance for SMEs.
to see guarantees written for up to 70% of the value of new leasing
deals. In return for these guarantees, it suggests that lessors
would be required to pay the government a 1 per cent annual fee on
the outstanding values of guaranteed leases.
The scheme would match the Enterprise Finance Guarantee Scheme
announced in January to support bank loan finance for SMEs.
FLA director-general Stephen Sklaroff
commented: “There shouldn’t be artificial barriers to anyone who
might need to access these schemes to lend back into the economy.
We are trying to ensure as many of the menu of options put forward
by the government [as possible] are capable of being
accessed.”
commented: “There shouldn’t be artificial barriers to anyone who
might need to access these schemes to lend back into the economy.
We are trying to ensure as many of the menu of options put forward
by the government [as possible] are capable of being
accessed.”
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