FSB calls for return to “normal” lending criteria

by Gill Montia

Story link: FSB calls for return to “normal” lending criteria

In a New Year message, the national chairman of the Federation of Small Businesses (FSB) is calling on banks “to return to their normal lending criteria, and to start playing their role as lenders with a large dose of modesty”.

According to John Wright, Britain’s five million small businesses will play a central role in the recovery from recession, but the backing of the Government and banks is essential to create the right conditions for entrepreneurs to thrive.

The FSB says it has long been calling for stronger competition in the UK banking sector and will welcome a New Year which sees more finance options available.

It wants to see non-UK retail banks, banks run by local authorities and the proposed Post Bank all provide a further source of funding for small firms.