Theodora Hadjimichael, CEO at Responsible Finance, commented:
“Micro enterprises and SMEs are already being negatively impacted by the coronavirus (COVID-19), as their workforces, sales and supply chains are all affected. As the driver of the UK economy, small businesses were already under stress from flooding in many regions as well as uncertainty around trade post Brexit. It is critical that the Government mitigates the risk to small businesses so they can remain resilient and have the confidence to grow.
The responsible finance sector is well placed to deliver any emergency funding to small firms affected by the coronavirus outbreak. These lenders are trusted within their communities and have reach into regional micro, SME and start-up markets that are not served by mainstream banks, whose need during this time will be acute. Responsible finance providers are tried and tested loan delivery partners for government programmes, already delivering good value for money for BEIS and BBB programmes.
Acting through the responsible finance network will ensure that the government reaches all microenterprises and SMEs that need emergency funding and that regions that traditionally lag behind in investment are supported.”