HSBC launches £8bn SME fund

The national £8 billion SME fund will be allocated in 43 local tranches across the country, signalling HSBC’s commitment to increase support for British small business. In addition to the fund, arrangement and HSBC security fees on qualifying business loans worth between £1,000 and £300,000 will be waived or refunded through to the end of July. Start-ups will recieve 18 months of fee-free business banking, and the bank will hold 300 workshops nationwide aiming to support 10,000 businesses looking to grow.

HSBC’s Head of UK Commercial Banking Ian Stuart said the package was designed to underline the bank’s commitment to all smaller firms in the UK – and not just those with international operations.

Stuart said:

“We’re hugely proud of our unique international network, but too often we’ve heard smaller, domestic businesses ask whether we are as committed to them as we are to big global firms.

“I want to show UK businesses that we are right behind them, whatever the size of their ambitions. We currently approve more than 85 per cent of lending applications, and our net lending to business is up in 2015 – but we want to do even more. Our £8 billion fund is an aspiration, not a limit, and waiving fees from our business loans could save the average firm hundreds of pounds."

HSBC UK Chief Executive Antonio Simoes said:

“It’s vital that SMEs across the country, from start-ups and sole traders upwards, know that HSBC is there to support them. We want to be their bank of choice. That’s why we’ve launched our largest ever package of support, with £8 billion available to lend and a promotion designed to make it cheaper and simpler to borrow for your business.”