HSBC UK today launched a £15bn loan fund for small and medium-sized enterprises (SMEs), with £1bn earmarked for Scotland.
The fund is part of the bank’s commitment to helping UK businesses innovate, thrive and grow in the UK and internationally.
It includes specific funding for companies trading internationally (£2bn), in agriculture (£1.2bn), the technology sector (£500m) and franchise businesses (500 million pounds).
The fund is also aligned with the Green SME Fund (£500m) and the new Growth Lending Fund (£250m) for high-growth technology companies.
Since the launch of the SME Fund in 2014, HSBC has lent over £90bn to businesses across the UK.
In 2021, it enabled an Edinburgh-based blankets and scarves company to expand its premises and hire 40 new staff with seven-figure funding. The Tartan Blanket Company has purchased a 32,000 square foot warehouse in Newbridge to meet growing demand from international customers.
Peter McIntyre, Head of Corporate Banking at HSBC UK, said: “SMEs are vital to the UK economy, and our customers have told us they are ready to invest for growth.
“We want to make a meaningful contribution to economies across the country, boosting local jobs, wealth and growth by providing funds, when and where they are needed most.
Small Business Commissioner Liz Barclay said: “The challenges facing small businesses are beyond imagination – problems caused by poor payment practices such as late or delayed payments and extended payment periods weigh in on cash flow.
“Small businesses are the backbone of the economy, and they need to be paid quickly and fairly, and if they are to have the confidence to invest and build resilience, they will have to weather the storms ahead and they will need the support of funds like this more than ever.
Don’t miss the latest headlines with our twice-daily newsletter – Register for free here.