John Baron MP presses Minister over lack of bank lending

MP says to many small businesses in Essex are suffering

Today in the House of Commons during Business and Skills Questions, John Baron MP pressed the Government Minister responsible, Ian Lucas MP, as to why the Government was failing to ensure banks lent to small businesses across Essex.

John said:

“Despite Government assurances to the contrary, all the evidence on the ground in Essex shows too many small businesses are still not able to secure credit from their banks or have had their credit conditions tightened. Why is the Government incapable of putting this right, particularly as it is a major shareholder in some of the banks concerned.”

Ian Lucas MP responded by saying the Government was doing all it could.

John said afterwards:

“The Government is failing small businesses at the moment. A new Institute of Directors Survey shows than nearly 60% of businesses seeking bank finance during the last year were rejected by their bank. The Government needs to use its leverage as a major shareholder in many of these banks to get credit flowing again.”