In 2022, applicant banks and specialized banks in the UK provided more loans to small businesses than traditional large players in the relevant services market.
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Financial institutions of the sector, in which applicant banks and specialized banks are represented, have provided loans to representatives of small and medium-sized businesses, the total amount of which is $ 35.5 billion.
According to the British Business Bank, by the end of 2022, the total volume of lending to small businesses in the UK amounted to $ 65.1 billion. For the first time in the history of banking, a large share of funds was provided by non-major players.
The total amount of loans over the past year is 12.8% higher than the same figure recorded in 2021. But net lending in 2022 decreased by 8.5 billion pounds. This is the result of the repayment of loans that were taken in connection with the economic consequences of the coronavirus pandemic.
The British market for financing small business assets in 2022 increased to 22.1 billion pounds, which is 11% higher than in 2021 and is a record value in the history of reporting. In part, this result is a consequence of an improvement in the situation with shortages in the supply chain and an increase in the value of assets.
In the third quarter of last year, there was a significant drop in demand for external financing in the UK. Only 33% of small businesses used this category of financing, compared with 44% a year earlier.
Gross lending grew in 2022. This is due to the fact that companies needed large loans due to inflationary pressures.
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