MPs have criticised the government’s attempts at improving lending to businesses in a new report from the Commons Public Accounts Committee.
The report found that too few businesses are aware of the schemes available, and that government lending to businesses has reduced, with net lending from the Funding for Lending scheme falling by £2.3bn.
The Committee also said that government schemes such as Funding for Lending and the Enterprise Finance Guarantee were not managed as a coherent programme “but simply as a series of ad-hoc initiatives.”
The report set out its hopes for the British Business Bank to improve this situation.
A government spokesman said “We want to do more, which is why the British Business Bank will be fully operational later this year. We expect the bank to unlock £10bn of funding for firms over the next five years.”