Lloyds pledges £12bn new SME loans

24 November 2011

One of Britain's leading financiers has pledged to increase the amount of money it makes available through loans to small and medium-sized enterprises (SMEs) next year.

Lloyds Banking Group will look to provide a minimum of £12 billion ($18.6 billion) to such businesses during 2012 as it seeks to offer greater levels of support to this area of the economy.

These loans will be made available without any quotas or caps to all companies bringing in a turnover of less than £15 million and represents a rise on the lender's existing Project Merlin agreement with the government.

In addition, the organization stated it is determined to make sure its measure of net lending remains positive.

John Maltby - director at Lloyds, a group formed in 2009 following Lloyds TSB's acquisition of HBOS - commented: "Our commitment is unequivocal and we want [SMEs] to know that, as and when they need to borrow, we are ready and waiting to lend."

By Claire Archer

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