Sun, 12 Dec 2010 | BUSINESS NEWS
Reduced levels of bank lending to small and medium businesses in the UK over the past year have been contributed to by high borrowing costs.
This is according to the latest comprehensive nationwide survey by the Centre for Economics and Business Research (CEBR), which found that bank lending has decreased by 4.5 per cent in 2010.
Many small and medium businesses have been put off from applying for bank loans because of the high cost of borrowing. Tough new EC banking laws agreed lately could mean that costs will increase even further over the next twelve months as banks are forced to increase their capital cover ratios.
The study also revealed that business confidence has dropped over the course of the year among firms with less than 250 employees. These businesses account for over £1.6 trillion of annual revenue – compared to just £1.4 trillion of annual revenues generated by FTSE 100 firms. SMEs also generate 53 per cent of total business tax contributions.
The CEBR urges the UK government to drop the small companies corporate tax rate below the 20 per cent rate due to come into effect next year.
A leading engineering firm focusing on electric power steering solutions and bespoke wiring harnesses serving various industries. It operates as two entities both reputable for maintaining high standards and offering bespoke solutions for clients. In...
Market-leading fruit and vegetable supplier distributing fresh produce and complementary goods both wholesale and D2C. The companys uncompromising drive for customer satisfaction has built strong relationships with across an enviable client base incl...
Turnkey construction services provider completing a range of projects with expertise across maintenance general refurbishment new build and conservation including work on listed buildings. The company provides full-service construction works utilisin...
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.