Bank boosts business lending - commercial mortgages

02 March 2009

Alliance & Leicester Commercial Bank has revealed that it intends to boost its lending to small businesses in 2009.

Managing director Steve Pateman said that the move comes following a "record year" for the bank, in which it increased its amount of credit facilities available to customers.

In 2008, the lender saw its small business lending balances rise by almost 50 per cent, something that may be welcomed by firms seeking commercial mortgages.

Spokesperson Steve Pateman noted that a ready supply of funds is crucial to firms in the current economic circumstances, remarking: "Cashflow is the key to business survival and we are committed to increase lending balances further in 2009, to help customers to stabilise their business finances."

In related news, director of the British Bankers' Association Paul Ross has claimed that UK banks are "willing and able" to supply finance to smaller firms in order to assist them through the downturn in the economy.