RBS CEO Ross McEwan today announced that RBS will extend its existing initiative of writing to thousands of customers outlining how much additional borrowing the bank is willing to lend their business. RBS has already made an additional £4bn available and this is being extended to £10bn.
RBS started proactively contacting customers to encourage new lending by highlighting the growth opportunities available to them. Over 16,000 customers have been proactively spoken to, resulting in over £1.5bn of lending currently being progressed.
Earlier this month, Ross McEwan accepted the findings of the Independent Lending Review stating that RBS would take a series of immediate actions to enhance its support for SMEs and the economic recovery. This included writing to thousands more businesses setting out how much more the bank is willing to lend.
Chris Sullivan, CEO Corporate Bank commented "We need to find new ways to give businesses the confidence to invest. Instead of waiting for these businesses to come to us, we’re going to them to show them that we’re open for business and willing to lend."
Gareth Jones is a young entrepreneur whose recycling business, GLJ Recycling Ltd in South West Wales, has grown from a turnover of £0-14m in 4 years. Gareth's business was close to operating at capacity when RBS highlighted an opportunity for him to increase his funding. Through support from his relationship manager Andrew Parker, Gareth's funding was increased by £1m which allowed him to buy a new site giving his business more room to grow.
Gareth commented "The letter I received from RBS could not have been more timely. I didn’t think I would be eligible for more funding at that time but to learn that it was an option gave me the confidence to work with Andrew to grow my business."