Comment from RateSetter Finance: Fall in UK Productivity

Nosedive in bank lending to businesses exacerbated fall in UK productivity

The latest figures from the Office for National Statistics (ONS) reveal that output fell by 0.5% in Q1 2017, the first quarterly setback since the end of 2015. UK productivity is now back at pre-financial crisis levels. Commenting on the figures Paul Marston, Managing Director of RateSetter Commercial Finance, said: “It is no wonder productivity has fallen over the last decade, given that the banks have cut off lending to small businesses which are the powerhouse of the economy. The good news is that credible alternatives to the banks have now become significant and accessible sources of finance for small businesses and momentum is continuing to grow. We are passionate about supporting ambitious businesses to invest, raise their productivity and grow.”