David Kendall is a Lib Dem County Councillor from Brentwood, and he’s been asking questions about the new “Bank of Essex”.
He’s finally been told that since the promotional launch in November / December 2009 :
* There have been 223 enquiries from Essex businesses for loans
* Only 10 loan applications have been approved
* 14 loan applications are awaiting decision
* The total value of the loans approved to date is ?290,000
* ?50 million was originally set aside to fund this project
In response to this information, Cllr Kendall said:
?After all the hype and publicity surrounding the launch of ?Banking on Essex? I was really hoping that this scheme would provide much needed help and support to the small businesses in Essex, who have been really struggling to borrow money from the High Street banks. However, it would appear that – from the small number of loan applications approved to date – borrowing money from ?Banking On Essex? has been just as difficult as getting it from the High Street banks. If the economy in Essex is going to be given the kick start it badly needs, then ?Banking On Essex? should be playing a much more proactive role in promoting and advertising what it can offer to small businesses, and certainly giving them more support than they are at the moment. I have asked for a breakdown of the loans by District / Borough Councils, and also details of the costs associated with running this scheme to date. In the meantime, I will continue to monitor how Essex residents? money is being used and hold the Conservative administration to account on this very important issue.?