RBS Tooling Finance proves to be a hit

We’re now NatWest Group

Come and visit us for all our latest news, insights and everything NatWest Group.


RBS Tooling Finance proves to be a hit

RBS became the first bank to offer bespoke Tooling Finance in July last year. The announcement of an initial £25m tranche of funding specifically aimed at suppliers in the automotive industry was incredibly well received by Government, industry and others involved in the sector.

Our news

28 January 2015

RBS announced a £25m tranche of bespoke Tooling Finance in July last year.

 

The urgent need for funding assistance had been raised by the UK Automotive Council, as the UK economy and automotive supply chain, was facing the risk of losing valuable orders and opportunities for job creation. UK automotive suppliers had identified the inability to fund the bespoke tools required to complete specific contracts, as a very significant factor restricting cash flow. So 6 months down the line, how has the RBS Tooling Finance funding helped those who so needed it?

Richard Hill, Head of Automotive and Manufacturing at RBS, commented:

“The launch of the RBS Tooling Finance was a solution to help the UK’s supply chain fulfil it’s potential. I am delighted to see deals begin to draw down on this funding and am proud to know that we are helping those suppliers who needed it most. We are very much open for business and we want to support this extremely important sector. The scale of the opportunity to support the UK automotive industry, and beyond, is very significant.”

DMS is one of Europe’s leading authorities in electroplating of injection moulded plastics. Having banked with RBS for 7 years, they were delighted to hear of the launch of the Tooling Finance funding. Chris Sharpe MD commented “I have always appreciated the expertise that RBS holds in terms of our sector, they understand us and our needs. We are a Tier II supplier which ultimately supplies in to JLR and this facility effectively provides us with an additional funding avenue. We have borrowed an additional £250k which will help us purchase the specific tooling required in our manufacturing process, taking pressure off vital liquidity going forward.”

Based in Shropshire, Grainger & Worrall employ over 400 people and their services encompass up-front engineering, precision machining and consultancy. They also produce their own tooling. Edward Grainger, Executive Director, from G&W commented “We have banked with RBS for over 25 years and so our relationship is a long-standing one. On understanding more about the Tooling Finance proposition, it immediately appealed to us and met our needs. We work with a lot of OEMs and therefore will find this incredibly useful.”

Michael Mychajluk, Supply Chain & External Engagement Manager, Jaguar Land Rover commented “We have been working in collaboration with RBS through our joint actions in the Automotive Council. The automotive industry's requirements are so specific and we are delighted with the resulting Tooling Finance proposition. The UK supply chain is critical for JLR and there is definitely an appetite for Tooling Finance as this RBS proposition has proven. It is to the credit of the British Banking Industry as a whole that they have listened to our needs and delivered new products in such a timely manner.”

Posted In

Our news

Tagged

2015

Related articles

Entrepreneurial Spark smashes start-up records in 2014

New partnership with RBS is key for Entrepreneurial Spark success in supporting start-ups and new entrepreneurs across Scotland .

RBS pioneers launch of £25m Tooling Finance funding for automotive industry suppliers

RBS today launches £25m of funding specifically aimed at suppliers in the automotive industry. RBS is the first bank to offer bespoke Tooling Finance and has done so in response to the urgent need for funding assistance which has been raised by the UK Automotive Council.

Latest news

RBS to help 2.5 million people each year to be more financially capable

RBS has today committed to helping 2.5 million people in the UK each year to improve their financial capability.

RBS to increase lending to sustainable energy sector following £1.1bn securitisation of loans to UK sustainable energy market

RBS has executed a £1.1bn securitisation deal with Macquarie Infrastructure Debt Investment Solutions (MIDIS), which will allow the bank to recycle capital and increase lending to the sustainable or renewable energy sectors.

RBS launches £1 billion Female Entrepreneurship Funding and announces targets to help create at least 50k new businesses by 2023

RBS has today announced a new £1 billion in funding through NatWest to support female entrepreneurs in the UK to scale and grow – the largest intervention by a UK lender focused specifically on female-led businesses.

We’re now NatWest Group

Come and visit us for all our latest news, insights and everything NatWest Group.

Set Tab for lightbox