Alliance & Leicester to increase SME lending

Alliance & Leicester (A&L) has announced plans to increase lending to small business (SME) customers by more than 25% this year.

Increased lending will “help customers to stabilise their business finances,” the bank said.

The announcement follows a 49% increase in small business lending by the Santander-owned bank during 2008; in the past three years A&L has given financial support to over 100,000 small businesses.

Steve Pateman, managing director of corporate and commercial banking at A&L, said: “In the current economic climate, cashflow is the key to business survival and we are committed to increase lending balances further in 2009.”

He added: “Business conditions are tough and customer feedback shows that small business owners are feeling the pinch.

“I would urge businesses to review their banking needs as a matter of priority to make sure they are getting value for money and a service that reflects their needs.”

Overall SME lending at Santander increased 30% on year during 2008.

Discuss this in the Finance Markets forums

Story link: Alliance & Leicester to increase SME lending