HSBC has announced a £15 billion lending fund for UK SMEs, to help expand access to the market and grow existing businesses.
This SME lending fund is part of a larger commitment to help grow SMEs in the UK and abroad.
Out of the £15 billion fund, the lending breakdown is allocated as follows:
- £3 billion to SMEs in London
- £3.3 billion to SMEs in the North
- £2.7 bullion to SMEs in the Midlands
- £4 billion to SMEs in the South
- £1 billion to SMEs in Scotland
- £750 million to SMEs in Wales
- £250 million to SMEs in Northern Ireland
Peter McIntyre, head of business banking at HSBC UK said, “The UK is home to many fast-growing, robust and innovative businesses who, together with the support of their banks, can seize opportunities and become stronger. HSBC UK package of support is designed to give businesses access to the help they need to weather the current challenges they are facing.”
Notably, HSBC has allocated £1.2 billion for the agricultural sector, and £500 million each for the tech and franchise sectors. The SME fund is open to businesses regardless of their status as an HSBC customer.
Business and Trade Minister Kevin Hollinrake said, “British SMEs are vital to our communities, creating jobs and opportunities, and they have shown great resilience in the face of challenging circumstances.
“Through the British Business Bank, the Government is helping more businesses to access the finance they need to start, scale and grow. It is great to see HSBC doing their bit to back business through their SME lending fund and other support services.”
The SME fund is the latest news for HSBC after the bank announced the purchase of the failed Silicon Valley Bank UK in March, for the symbolic price of £1. HSBC will launch their rebrand of SVB at London Tech Week later this month.