A taskforce of six major British banks has unveiled a 1.5 billion pounds ($2.38 billion) business growth fund to kick-start funding to small businesses in the wake of a sharp downturn in business lending after the credit crisis.
The fund will offer equity support to UK businesses with an average turnover from 10 to 100 million pounds and funding requirements of up to 10 million pounds, as part of 17 initiatives proposed on Wednesday by the British Bankers' Association and the industry. The banks involved are Barclays, HSBC, Lloyds, Royal Bank of Scotland, Santander and Standard Chartered. They will build up an investment portfolio capped at 1.5 billion pounds over a number of years.