Member Article

Leisure SMEs encouraged to dig into £300m fund

Leisure businesses across the North can now tap into a £300m fund for reinvestment and growth.

The NatWest and RBS Leisure Fund is specifically for SMEs in the sector, and features two, sixth-month repayment holiday options - designed to accommodate for the seasonality of many leisure businesses.

Andrew Taylor, head of Leisure for Commercial Banking at NatWest and RBS said: “From day one this fund has attracted incredible interest.

“We listened to the needs of our leisure customers and designed the fund specifically to support the needs of this particular industry. Its success so far proves the real desire for investment and growth and we are dedicated to continuing our support of leisure businesses.

“The fund has now been running for 20 weeks and we have agreed over 250 loans totalling some £160m. Given lending in the equivalent 20 weeks of 2012 was around £60m this is an incredible step forward which proves that confidence is returning and that NatWest really is supporting SME clients across hotel, restaurant and pub businesses.

“It is also really encouraging that the funding has not just gone to a handful of large businesses, but to a wide range of clients around the country totalling over 260 loans.”

Hotels have generated the largest demand for the fund so far, borrowing around £90million, followed by restaurants and pubs.

Andrew added: “Generating around £97bn of GDP and around 2.2 million jobs, the industry is vital for the UK economy and we are dedicated to supporting leisure businesses across the UK. Our specially trained Leisure Relationship Managers work closely with businesses to ensure we can provide the correct support.”

NatWest and RBS’ Leisure Fund has received government support with Helen Grant MP, Minister for Tourism, backing the campaign. Minister for Tourism Helen Grant said: “The tourism sector has a major part to play in our economic growth strategy, as it supports local jobs and businesses across the country.

“It is great to see such positive take-up from the NatWest and RBS Leisure Fund and a further £150 million being added with many hotels looking to benefit and drive growth. I hope the scheme continues to go from strength to strength.”

National tourism body Visit England were closely involved in the development of the Leisure Fund and are delighted with the response so far.

Visit England’s chief executive James Berresford said: “It is great to see that leisure businesses across the country are taking advantage of this opportunity.

“We worked closely with NatWest and RBS on the creation of the fund. It is vital that our tourism businesses have the opportunity to invest in their products if the industry is to thrive and grow. The positive take up of the fund so far demonstrates the industry is hungry to invest and I am delighted that NatWest and RBS have taken such steps to help support the leisure industry.”

This was posted in Bdaily's Members' News section by Tom Keighley .