Small firms hampered by banks’ behaviour

A government business adviser has accused banks of displaying disturbing patterns of behaviour towards small businesses which impede lending.

As reported in AccountingWEB sister title BusinessZone.co.uk, entrepreneur-in-residence Lawrence Tomlinson presented a dossier to business secretary Vince Cable which revealed many businesses had been “deterred from accessing finance before even being given the chance to apply”.

The report also suggested that statements such as...

Continued...

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Comments
Time for change's picture

One of the reasons why    3 thanks

Time for change | | Permalink

small businesses fail to speak out is that it's a bit like p****g in the wind - no one seems to listen and, small or indeed any other business, has more to do than take these concerns further. In addition, this has been going on for so long now, there really is no evidence that anyone listens to the concerns.

Vince Cable must feel like he's banging his head against a brick wall.

Why, in the UK, is nothing ever honest, honourable, or straight forward, any longer, Every aspect of daily life seems to have to be tied up in "spin". It doesn't matter whether the topics are; the banks, unemployment statistics, politics etc etc, it all has a rather nasty pong.

Rant over!

johnjenkins's picture

Not a rant    1 thanks

johnjenkins | | Permalink

Just the truth. Banks seem to think they can do what they want and normally do. Things have necer really been the same since the 1990's. Lawson and Brown have a lot to answer for.

Let's be fair to the banks fellas !!    1 thanks

TMR | | Permalink

Let's face it they're all spending so much time supporting the Government with aid and loans to those despot countries that Godfrey Bloom recently referred to as Bongo Bongo land, intended I'm sure to raise our awareness and not as a racial slur, Go for it Godfrey!, and subsequently money laundering those ill gotten gains for those despots thereafter not to mention any other dubious country, drug dealer or crook that comes along.

This all takes them so much time how on earth do you expect them to  have time to deal with small businesses let alone the inclination!

 

But take heart - Vince is at last worried - we're all saved!!  When did he last have something bad to say about bank's attitude to small business ? OK well in the words of John Cleese what have the Romans ever done for us! 

Banking misbehaviour

rollyollyolly | | Permalink

So....now is the time for small businesses to get together and tell it just as it is.As an accountant, I can cite many cases of banking horrors that have been served on my clients in the last few years. In some cases, the bank's attitude has caused considerable distress for the client along with the financial difficulty which the bank made worse through their unhelpful and frankly arrogant treatment of their own customers. What we need is a forum to collect all these stories which can then be presented to the government......

mr. mischief's picture

Are they any different to HMRC?    3 thanks

mr. mischief | | Permalink

In their high-handed and arrogant attitude towards small business, coupled with silly phone contact systems, are banks really any different to HMRC?

Whilst there is little the Government can really do to change bank culture, they are - or should be - in total control of HMRC culture.  So they should be controlling the controllables and putting a big rocket up that ass before they start bitching about the banks!

The now dead President RE: 'BONGO BONGO LAND'

dstickl | | Permalink

TMR wrote:

Let's face it they're all spending so much time supporting the Government with aid and loans to those despot countries that Godfrey Bloom recently referred to as Bongo Bongo land, intended I'm sure to raise our awareness and not as a racial slur, Go for it Godfrey! ... 

For your info, TMR: The Sunday Times report, by John Follain in Paris, published 20 July 2008, titled "Bongo, the des res despot", subtitled ... the now dead "President of Gabon uses treasury cash to fund luxury lifestyle", also included these 4 paras: 

Bongo's fortune has repeatedly come under the spotlight.  According to a 1997 US Senate report, his family spends £55m a year. 

In a separate French investigation into corruption at the former oil giant Elf Aquitaine, an executive testified that it paid £40m a year to Bongo via Swiss bank accounts in exchange for permission to exploit his country' reserves.  Bongo has denied this. 

The latest inquiry, by the French antifraud agency OCRGDF, followed a lawsuit that accused Bongo and two other African leaders of plundering public funds to fund their purchases. 

"Whatever the merits and qualifications of these leaders, no one can seriously believe that these assets were paid for out of their salaries," alleges the lawsuit brought by the Sherpa association of jurists, which promotes corporate social responsibility. 

 

END of quote; here's a link: 

 http://www.thesundayimes.co.uk/sto/news/world_news/article107005.ece 

A follow up

TMR | | Permalink

Thanks for the further enlightenment of such fine outstanding fellows our elected representatives give our hard earned cash to! : It seems we're in an environment of never ending scandals, Starbucks/Tesco pay little or no tax - but back door deals are done with non elected civil servants, Reputable Banks as they like to call themselves ! are involved in money laundering but apart paying fines to the Government nothing happens to individuals, huge bonuses continue unabated, and all the time we simply receive the same old bull from our political leaders.

Bringing us back to the point in question, in the article Vince Cable (our Business Secretary no less!) mutters about his worry that leaders of SME's are reluctant to speak out - I've been shouting for years as I know have many others. I e-mailed Vince to say it wasn't a case of reluctance on our part but more a case of the political elite hearing but not listening. I haven't had a reply so can only assume they he can read but maybe doesn't understand!!

@TMR: Keep up the good work RE: 'BONGO BONGO'-style corruptions!

dstickl | | Permalink

@TMR:  Keep up the good work, please, or else - in my opinion - we 'good guys' shall be left working for parasites for significant time(s), and our families shall suffer accordingly. 

Else where in this allegedly wicked world:  In my opinion, Rob Wilson, MP for Reading East, was correct when he wrote to Mark Rowley, the assistant Met Police commissioner for specialist crime, and asked him to obtain from the BBC the names of 150 senior managers who received payoffs and those who authorised them - apparently allegedly in excess of that/those set out in the previously agree BBC contracts.  

REASON: By its apparent action of lack of sufficient information being made available to Parliament about the apparently corrupt spending of the apparently compulsory BBC licence fee taxation - paid by taxpayers who expect to be represented by a democratically elected "mother" of parliaments - the BBC sadly seems to me to wish to be known as, so-to-speak, the BONGO BONGO CORRUPTION corporation !!     [Rather than a quality broadcaster, in my opinion, in line with our expectations.]

 Agreed ?