Toby Perkins MP, Labour’s Shadow Small Business Minister, responding to Vince Cable admitting that the Funding for Lending Scheme has failed said:

“Vince Cable has admitted what Britain’s businesses have known for years: this Government’s schemes have failed to get lending going to Britain’s businesses and small firms in particular have been unable to get the finance they need to expand.

“Under Funding for Lending, which ministers promised would make a real difference, net lending to small firms actually fell by £435 million in the second quarter of this year.

“This failure is lamentable but not inevitable, Labour would set up a proper British Investment Bank and develop a network of regional banks to get finance flowing to Britain’s wealth creators again.”