The Finance and Leasing Association (FLA) has welcomed the
UK government’s call for evidence on business access to finance,
which will determine the measures needed to help UK small and
medium-sized companies.
FLA’s director general Stephen Sklaroff commented: “There is an
urgent need for small businesses to get access to finance because
Britain’s future prosperity depends on significant investment in
new plant.”
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“The government needs to act now to help ensure both that SMEs
can afford to invest in new plant using leasing and that funding is
available for assets that will help deliver growth and jobs,” he
added.
The Department for Business, Innovation and Skills said that the
review undertaken will determine “if any intervention is required
to ensure small and medium-sized firms with good growth potential
have access to the capital they need”.
It added that the businesses considered will be established SMEs
that are cash generating and have good growth prospects, seeking
finance to enhance long-term growth rather than to alleviate
financial distress.
The scope of the review excludes the financing of higher risk
investments such as business start-ups and spin-outs.
The call for evidence is open until July 17.
Antonio Fabrizio
