| | |
Share

Test of FLS 'will be reach to businesses'

The British Chambers of Commerce (BCC) has underlined the fact that some real tests face the government's Funding for Lending Scheme (FLS).

HM Treasury announced that the drawdown window for the FLS has officially opened and will remain available for 18 months, with cheaper rates on borrowing for banks and building societies extended by up to four years.

Director-general of the BCC John Longworth expressed optimism that the scheme will encourage banks to lend more readily to businesses, which would go some way to addressing difficulties many are facing when attempting to access finance.

However, he said that the true test of the FLS will be whether or not any money reaches new or fast-growing enterprises - and start-ups in particular.

"The creation of a state-backed business bank would help companies that have been unable to get credit from banks, so they can start-up, invest, expand and create jobs," Mr Longworth commented.ADNFCR-1898-ID-801421529-ADNFCR

Accountants and Business Advisers © 2013 BDO LLP. All rights reserved. BDO LLP, a UK limited liability partnership registered in England and Wales under number OC305127, is a member of BDO International Limited, a UK company limited by guarantee, and forms part of the international BDO network of independent member firms. A list of members' names is open to inspection at our registered office, 55 Baker Street, London W1U 7EU. BDO LLP is authorised and regulated by the Financial Services Authority to conduct investment business. BDO is the brand name for the BDO network and for each of the BDO Member Firms.