smallbusiness.co.uk: Helping your business think big

The government remains committed to supporting the country's small companies, according to Lord Peter Mandelson.

Speaking at yesterday's Small Business Finance Forum, the business secretary highlighted the achievements of the government's Real Help programme and said new ways are being explored to aid the long-term capital growth of small enterprises.

Under the Real Help initiative, more than 2,500 eligible loans with a combined value of nearly £290 million are being assessed or have been approved through the Enterprise Finance Guarantee scheme.

In addition, the first £1 billion batch of business lending guarantees have been issued to banks under the £10 billion Working Capital Scheme, while the recent Budget pledged up to £5 billion of additional trade credit insurance to companies facing reduced levels of cover.

Mandelson told the forum: 'These measures continue to show that government is providing real and targeted support to those businesses which need it most. Businesses are the lifeblood of our economy and I am determined that we do everything we can to support them through the economic downturn.'

On Wednesday, chancellor Alistair Darling announced in his Budget speech that further help will be extended to firms struggling to pay their taxes, through changes which allow an increased time period for the settlement of corporation and income tax.

Despite the business secretary's confidence, companies have reported difficulty in accessing the Enterprise Finance Guarantee scheme, with a poll by the Federation of Small Businesses earlier this year finding just eight per cent have seen banks make it available to them.

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