Sir Alan Beith MP has welcomed the actions taken by some banks to help small businesses during the economic downturn, including the passing on of changes to the base lending rate in full to customers with an annual turnover of less than one million pounds. Now the senior Liberal Democrat MP is calling on the Government to ensure that all banks adopt these measures and also help small businesses through temporary difficulties.
Alan Beith said
"This is a very difficult time for small businesses and the Federation of Small Businesses has said that 60 small businesses are closing down every day. Small businesses provide work, occupy property that would otherwise be empty and contribute to our local economy - and some small businesses grow into major companies. I am calling on the Government to take action to ensure that banks give small businesses access to affordable finance with no hidden costs.
"The reduction in the availability of credit is forcing many small businesses to take a hard look at their future and they need support so that they can continue, for the sake of the businesses and their employees."
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