Barclays announces further small business investment

Date: 26th January 2010

A number of small firms in the UK could have their access to finance improved following an announcement from Barclays bank.

Through the government's Enterprise Finance Guarantee (EFG) scheme, the bank has made an additional £88 million available to smaller firms that may have had trouble securing finance during the economic downturn.

Under EFG, the government guarantees a proportion of the loan repayments if the firm is unable to meet them.

The loans will be available to all businesses in the UK with a sales turnover of less than £25 million.

Steve Cooper, managing director of Barclays Local Business, said: "Time and again over the last year EFG has proven to be a superb way to support worthy businesses.

"The new funding we're announcing is going to continue that good work, to help more businesses become successful and help pull the UK out of recession."

Mr Cooper explained that through the EFG-backed loans, Barclays has made finance available to more than 1,600 smaller firms throughout the UK.