The UK economy has faced an uphill battle, grappling with sluggish growth rates and persistently low productivity. A strong plan for growth is vital – and access to finance is an essential component of any growth strategy. Grants, once a valuable resource for entrepreneurs, have diminished in availability. Alternative avenues such as debt and equity financing have become increasingly important for businesses seeking to unlock their growth potential.
To support local firms in accessing funding opportunities, we are excited to be collaborating with Tech South West to launch an Access to Finance platform. This resource will guide businesses to relevant funding options and offer them additional support in securing funds.
We are also exploring the establishment of a Social Impact Fund, which would address the unique financing needs of social enterprises, fostering a more inclusive and sustainable business environment.
The lack of a loan fund has long been a levelling-up challenge for our region. While the Midlands and North have benefited from regional funds administered through the British Business Bank, the South West has always struggled to secure sufficient access to capital and specifically an equivalent fund. Therefore we are pleased to see the launch of the South West Investment Fund and the appointment of local fund managers. Initiatives like these aim to address this discrepancy, and create a more balanced playing field, and we will play a key role in highlighting the various funds to business and helping them access it.
Whilst grants have diminished, mainstream borrowing options such as banks remain accessible. However, these can often come at a higher cost, making them less desirable for small businesses. These initiatives aim to provide greater opportunities for businesses to secure funding – so that no business with a plausible return on investment should be unable to find the financial backing they need to thrive.
Access to finance is vital to business growth, and it is imperative that we address the unique challenges faced by South West businesses. Together, let us seize these opportunities, bridge regional disparities, and unlock the full potential of our vibrant business community.
