Barclays launches new £370m lending fund for Midlands small businesses
The news comes just one week after the British Business Bank (BBB) injected another £100m into its Midlands Engine Investment Fund (MEIF)
Barclays bank has launched a £370m lending fund for small businesses based in the Midlands.
The Barclays Midlands Growth Fund as its called, is available for the next five years, with firms based in the region eligible for the following:
- Up to £250,000 worth of an overdraft without the need for property security for manufacturing companies
- Cashflow funding to invest in acquisitions and organic business growth
- Lending and debt support, which can be combined with the government’s Midlands Engine Investment Fund (MEIF).
The news comes just one week after the British Business Bank (BBB) injected another £100m into its Midlands Engine Investment Fund (MEIF) – which looks to make a total of £250m worth of equity finance available to firms across the region.
This collaboration between BBB and the region’s 10 Local Enterprise Partnerships is part of the government’s drive to support 1,500 small businesses and create 3,800 new jobs with debt and equity funding.
A recent report highlighted that Birmingham topped the list as the UK city with the most new businesses outside of London – with 12,108 start-ups being born there in 2017.
Speaking about Barclays relationship with small businesses in the Midlands, Jes Staley, Barclays CEO, said:
“As a bank with Midlands roots stretching back over two centuries, Barclays is wholeheartedly committed to the success of this region.
“That is why I’m so proud to announce our new Midlands Growth Fund, to help businesses across the East and West Midlands invest in jobs and growth.
“It is the entrepreneurs, the new tech firms, the small manufacturers, and the world-leading research and development companies, which will help the Midlands become a heartbeat of the UK economy – and Barclays is keen to play its part to make that happen.”
Sir John Peace, chairman of the Midlands Engine, added:
“The Midlands Engine is all about unlocking the significant potential that exists in our region.
“This new commitment from Barclays will help even more Midlands businesses to grow, and I look forward to talking to many more financial services firms on how we can work together to boost jobs and economic development.”