THE Forum of Private Business has responded to the latest Funding for Lending figures released by the Bank of England.

Phil Orford MBE, Chief Executive of the Forum of Private Business, said: “Today’s figures are disappointing with net lending to businesses and households down by £2.3 billion since June 2012. Positive signs of economic recovery suggest that business confidence is up and last week’s BDRC Finance Monitor for SME lending suggested that 51% of businesses surveyed were looking to grow in the next 12 months. The appetite for growth is there, but today’s figures suggest when it comes to looking for external finance businesses are simply not turning to the banks, looking to friends and family or seeking alternatives such as asset based finance.

“Despite awareness of schemes such as Funding for Lending, and a desire to borrow, businesses are under the impression that the banks are still not willing to lend, and this perception gap risks disabling the access to finance that is vital to support growth and getting Britain trading at pre-2008 levels.

“My message to the banks is we can’t afford for progress to wither. Banks must be proactive in providing the liquidity the economy needs and promoting awareness of – and access to – the financial mechanisms in place to support lending.”

ENDS Notes to editors Amounts outstanding from SMEs over the period: o Overdrafts has dropped by around £3bn from £18,357M in July 2012 to £15,436M in June 2013 (July figures are £14,564) o Loans have dropped overall from £167,941 in July 2012 to £154,962 in June 2013. This rose to £155,464 in July 2013 o Net borrowing by SMEs has remained static over the second quarter of 2013, rising from £169,524 to £170,027 Source: Bankstats (Monetary and Financial Statistics) Table A8.1 Images of key Forum spokespeople, along with the Forum’s logo, can be downloaded here Broadcast media – the Forum has ISDN capability and can provide comment, in quality audio, at short notice. The Forum can also provide journalists with localised and sector-specific case studies.

Twitter account - http://twitter.com/the_fpb Forum blog - http://blog.fpb.org LinkedIn group: Small business forum - http://www.linkedin.com/groups?home=&gid=2481461&trk=anet_ug_hm Follow the Forum’s Chief Executive Phil Orford on Twitter - http://twitter.com/philorford About the Forum of Private Business The Forum is a national business support group focused on the growth and profitability of small and medium-sized private businesses in the UK.

Whatever challenges businesses face, we offer support with a package of member services, including timely advice and information designed to help companies protect and grow their business and save you money, as well as providing a collective voice for private sector employers.

The Forum can help businesses in a variety of areas including: • Access to finance • Credit management • Legal protection • Business development and marketing • Exclusive offers on business services – to save time and money • Leadership development • Guidance and support via our business helpline To find out more, visit www.fpb.org