RBS £1 billion helping hand for small firms - Business - Evening Standard
       

RBS £1 billion helping hand for small firms

Royal Bank of Scotland has signed a deal to lend £1 billion more to small businesses under the Government's Working Capital Scheme.

Under the deal, the Government will provide banks with guarantees covering 50% of the risk on their lending to firms in a bid to boost the economy.

Business minister Ian Pearson said: "RBS and NatWest have agreed that the capital released by their participation in the scheme will be redeployed in support of lending to creditworthy SMEs and mid-corporates."

CBI chief economic adviser Ian McCafferty said: "This is a much-needed start to the working capital scheme and should help firms trying to weather recession. But much more will be needed, and we look forward to further tranches of lending being secured."

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