TSB, the bank that likes to say yes, is looking forward to helping provide up to £100 million of funding for Britain’s small businesses.
Last week, the challenger bank said that it planned to expand its focus into small business banking. It said that the market is dominated by the big banks that control more than 90% of the market between them.
It believes real competition is needed in this market to break the shackles the big banks have had on Britain’s small businesses for far too long.
And to help it is launching BlueWaves, a new investment vehicle, to provide equity funding to early stage businesses and start-ups with a focus on small businesses in sectors such as digital and e-commerce; software and technology; creative and media.
TSB’s new commercial banking director, Richard Davies, said: “What better way to kick start the year supporting the future of local small businesses than to invest right in the heart of the UK economy.
“This is a tangible example of how we want UK businesses to reach their full potential as we put our money where our mouth is.
“We’re spending millions of pounds of our own money to build new services for small businesses, and our new banking platform will provide the springboard to really take on this market in 2018.
“There’s a real moment of opportunity to create something better for small businesses in the UK – and through BlueWaves and the next generation of business banking – we are going to be leading the charge – watch this space.”
TSB’s CEO, Paul Pester, says: “There are millions of hardworking people employed by over 5.7 million small businesses right across the UK, together they make up 60%of the private sector economy.
“Not only that, but small businesses are the lifeblood of the UK economy – creating nearly three in four of all new private sector jobs since 2011.
“Given our track record in bringing more competition to UK retail banking, we feel we are in the best position to make use of the Capability and Innovation Fund – often referred to as the RBS remedies – to break the shackles the big banks have had on Britain’s small businesses for far too long.
“Imagine the good that money could do for Britain’s small businesses in the hands of a bank like TSB – one that has already shown its credentials in taking on the big banks.”
