Increase supply of finance in the UK

Delivered: An increase of 24% in the total
stock of finance offered through the Bank’s
programmes. £9.2bn of stock as
at end March 2017.

Icon

Objective 1

Increase supply of finance in the UK

Delivered: An increase of 24% in the total
stock of finance offered through the Bank’s
programmes. £9.2bn of stock as
at end March 2017.

Why it is important: When we make markets work better and help smaller business get finance that they otherwise wouldn’t get, we enable investment in hiring people, buying equipment, and general growth that benefits the entire UK economy.

Under its first Key Performance Indicator (KPI), the British Business Bank is measured on the total stock of finance provided through its programmes. This is a combination of funds that we have directly deployed as well as private funds which our participation has helped to unlock.

In order to increase supply we have built up a wide range of delivery partners who can get that finance to the market. Over the past year we have made new commitments of £717m.

The Bank’s total stock of finance grew 24% from £7.5bn to £9.2bn from end of March 2016 to end of March 2017.

This was driven primarily by the performance of the Investment Programme, Business Finance Partnership and Enterprise Capital Fund. In particular, the Business Finance Partnership portfolio generated significant volume of private sector investment.

EFG Case study

Miss Macaroon

Miss Macaroon, set up by social entrepreneur and trained pastry chef Rosie Ginday, is a high-end patisserie with a difference.

This social enterprise business specialises in baking French macaroons, hand-made by long-term unemployed young people, ex-offenders and care leavers aged between 18 and 35.

After finding it difficult to secure finance from social and traditional lenders, Miss Macaroon successfully approached BCRS Business Loans, an accredited lender for the British Business Bank’s EFG programme. Just seven months later, Rosie opened her first store in Birmingham’s Great Western Arcade.

In the store’s first six months, the Miss Macaroon team helped two long-term unemployed people into full time work and one into further work experience. Ultimately, they aim to help as many young people as possible secure sustainable, full-time employment. Miss Macaroon plans to open a second UK store within the next year.

TEMP_MAP.jpg#asset:710

EFG Case study
Previous: Overall performance
Next: Increase diversity of SME finance in the UK