British Business Bank issues 75,000th startup loan
The British Business Bank has issued its 75,000th loan under its Start Up Loans programme, marking more than £623m invested in small business across the UK since its launch in 2012.
The number of loans for small firms has risen sharply since the start of the pandemic. Between May and July a total of £31.9m of funding was drawn down, compared to £22.9m in the same period in 2019.
July saw a record month for drawdowns since 2014, as lockdown restrictions started to ease and businesses reopened their doors to customers.
Of the 75,000 loans, 22 per cent – 16,508 – have been issued to entrepreneurs in London, meaning more than £137m has been invested in the capital’s small businesses.
London received the highest number of loans in the UK, with an average loan size of £8,299, followed by the North West with 9,219 loans worth £74m.
The South East received 6,752 loans – nine per cent – worth £60m, followed by the West Midlands where a total of 6,198 loans – eight per cent – were provided for a value of £50m.
| Region | Loans made | Amount lent (£) | Average loan size (£) |
| East Midlands | 4,125 | 31,993,970 | 7,756 |
| East of England | 4,988 | 41,066,875 | 8,233 |
| Isle of Man | 2 | 10,000 | 5,000 |
| London | 16,508 | 137,001,751 | 8,299 |
| North East | 4,295 | 35,344,418 | 8,229 |
| North West | 9,219 | 74,692,327 | 8,102 |
| Northern Ireland | 1,157 | 8,900,426 | 7,693 |
| Scotland | 4,703 | 36,734,508 | 7,811 |
| South East | 6,752 | 60,396,668 | 8,945 |
| South West | 6,2314 | 50,827,370 | 8,179 |
| Wales | 3,443, | 32,226,155 | 9,360 |
| West Midlands | 6,198 | 50,087,079 | 8,081 |
| Yorkshire and the Humber | 6,332 | 54,868,989 | 8,665 |
| Region not obtained | 801 | 9,606,463 | 11,993 |
| Total | 74,737 | 623,756,999 | 8,346 |
Source: British Business Bank
Since its launch, 40 per cent of the recipients of the British Business Bank‘s loan were women, while one in five came from Black, Asian and Minority Ethnic communities.
“Start Up Loans’ 75,000th draw down represents a major milestone for our operations, meeting a key policy objective from when we launched in 2012,” said Richard Bearman, Managing Director of Start Up Loans, said.
“Government backed finance for people looking to start their own businesses has never been more important than it is currently. As well as being key to economic growth over the long term, Government support for small businesses around the UK continues to drive investment into the regions.”
Business secretary Alok Sharma added: “Our plan to build back better will level up every region and sector of the UK economy, backing makers, doers and innovators regardless of background.”