According to figures released today by the British Bankers’ Association (BBA), the level of banks’ lending to small businesses rose by £235mn to £54.2bn in January.
The BBA reports that banks are working to help all business customers through industry-wide initiatives like the Statement of Principles, which, since its publication in January, has been selling at around 300,000 copies a week.
In addition, the BBA’s Business Account finder – which aims to match firms to the right deal for them – has seen a 28% increase in businesses accessing the site since the beginning of the year.
January’s rise in lending reversed the previous month’s movement when overdraft balances were reduced by receipts of single farm payments. Deposits fell by £1,513m in the first month of the year, in part reflecting small businesses’ tax payments.
