Allica Bank has announced reductions in its asset finance rates as part of its ongoing efforts to support established businesses across the UK, the business lender said in a press release.
The rate cuts apply to loans between £150,000 and £2.5 million for terms ranging from 24 to 84 months, with a 0.25% reduction.
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This move is described as part of Allica’s broader commitment to SMEs and brokers, following previous rate reductions earlier in 2024. The bank continues to offer a 0.25% discount on loans exceeding £750,000 or for properties with an Energy Performance Certificate (EPC) rating of A to C.
The rate cuts come amid a period of significant expansion for Allica. In December, the bank revealed it had lent £3 billion to established businesses since its launch. That milestone was accompanied by a series of rate reductions and the decision to make its promotional 1.5% arrangement fee a permanent feature for all owner-occupied commercial mortgage applications.
Allica has also been investing heavily in its Introducer Portal, designed to give brokers greater control and oversight of loan applications, making it easier for them to support their clients.
Commenting on the rate cuts, Nick Baker, Chief Commercial Officer at Allica Bank, said: “There’s a huge amount of untapped potential in the established SME economy, and brokers are well positioned to help their clients realise it. It’s vital that banks play their part in helping them do so, and Allica’s latest batch of rate reductions is designed to unlock that potential.”
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By GlobalDataBaker added that Allica remains focused on a “proactive and human-led approach” to lending, allowing it to assess each application on its individual merits while continuing to invest in technology to enhance the broker experience.
