Posted by James Curtis
Individuals contemplating setting up a business in the UK could be among those encouraged by the findings of a new report.
A survey recently carried out by insurance giant RSA and the Warwick Business School has shown that smaller enterprises are still struggling to access finance from mainstream banks.
Indeed, data from the study shows that 12 per cent of smaller firms have faced difficulties acquiring a loan in the last 12 months.
The figure comes despite the country's leading banks being set a government target of lending £76 billion to small firms this year – a figure that is set to be narrowly missed.
Tara Kneafsey, a director at RSA, said: "Confidence is a critical factor for SMEs as we approach 2012 - confidence in knowing they are protected should the unexpected happen and confidence in having access to capital to maximise growth opportunities.
"Our research suggests that this investment and support will increasingly be sought from private investors rather than banks in the coming years."
However, the New Year could bring a change in fortunes as Shawbrook – a new dedicated bank – is poised to lend a further £250 million to small businesses.