Outstanding Lending To SMEs Drops In February
You may be interested to read that, according to data published by the Bank of England, there was a slight fall in the total amount of outstanding bank lending to Small and Medium Sized Businesses (SMEs) in the month of February 2019. Such lending dropped by a modest £0.1 billion in February 2019 to an outstanding amount of £165.8 billion.
The sector with the most borrowing outstanding in February 2019 was real estate, professional services and support activities at £66.5 billion followed by agriculture, hunting, fishing and forestry at £16.5 billion. Lending to the wholesale and retail trade stood at £15.4 billion. Lending to the construction industry amounted to a total of £15.3 billion. Lending to human health and social work totalled £12.7 billion. Accommodation and food services borrowing was £10.8 billion. Manufacturing lending came to £10.1 billion.
In contrast, lending by the banks to large businesses actually rose by £1.4 billion in the month of February 2019 to a total of £316.5 billion. The sector with the largest amount of borrowing outstanding was real estate, professional services and support activities at £127.2 billion. Manufacturing was in second place at £39.7 billion and in third place was the wholesale and retail trade at £39.5 billion.
There are so many sources of funds that are available to SMEs. The most popular source is still through the high street banks and building societies but there are also a number of specialist lenders including peer to peer lending platforms. If you are the owner of an SME looking for business finance then don’t just approach your bank for funding. Why not shop around to see if you are able to obtain a more competitive lending package elsewhere as this may result in you being able to save a significant sum of money in interest payments and/or fees.
In this respect, why not get in contact with us here at Commercial Mortgage Link and we will be pleased to put you in touch with a specialist broker who will discuss your requirements and do all that he or she can to help source suitable, competitive finance and also assist in the packaging of a lending proposition.