27 April 2020
The UK Government has already announced a number of measures to support good businesses in financial difficulty throughout the coronavirus pandemic. However, official reports and case studies from our members show that many financially-viable SMEs are still unable to access the urgent financial support that they need to survive this crisis.
To this end, we believe the Government should increase loan guarantee to 100% for loans under £250,000, meaning that banks could streamline their processes while still performing essential fraud and economic crime checks. This would significantly reduce loan-processing time and enable SMEs to have quicker access to working capital and help with immediate, critical cashflow issues.
We need to move swiftly to ensure the efficient and effective delivery of financial support to struggling businesses. Letting good businesses fail now will only hurt our country’s long-term recovery.
Andrew Harding, FCMA, CGMA
Chief Executive — Management Accounting
The Chartered Institute of Management Accountants, part of the Association of International Certified Professional Accountants