Gwent Business
Export goods abroad, PM urges SMEs
11:29am Thursday 10th November 2011
The Prime Minister today challenged smaller firms to get out of their 'comfort zone' and export goods abroad as he announced that £95m is to be made available for investment.
Under a 'ground-breaking' deal, SMEs unable to obtain the funding they need in commercial loans from the banks will be able to access money from the fund, said David Cameron.
He told a business conference in London that the award of the grants, made from the Regional Growth Fund, will be administered by the Royal Bank of Scotland and HSBC in a deal brokered by former deputy prime minister Lord Heseltine.
Ministers estimate that the scheme will unlock around £500 million of new investment in the SME sector, creating at least 4,000 jobs.
Mr Cameron hailed the development as a 'huge step forward' in the drive to create jobs and boost business investment.
Mr Cameron praised firms exporting goods, pointing out there were UK companies selling nan bread to India, tea to China and canoes to Eskimos.
"We need more of you to get out of the comfort zone and sell to the world," he told the audience of business leaders.
The Prime Minister welcomed today's announcement of 1,000 new jobs by car giant Jaguar Land Rover, saying that every major motor manufacturer was bringing more of their supply work to the UK.
He said often it was a small investment - maybe just £30,000 - that can help businesses in the UK create the jobs, kick-start the innovation and export goods.
"These are the very loans that you simply can't get without personal guarantees, like putting up your house - and even then the banks might say no.
"By using high street banks like this we will give support to those SMEs that can't access commercial funding and we will help areas of our country that other forms of business lending can't reach."