Bank lending to SMEs on decline.


Research published by Oxford Economics indicates that lending by banks to small businesses has fallen by 3% since 2015, despite credit provision to large companies having increased by 43%. According to the study commissioned by Funding Circle, SME lending accounted for just 2% of a bank’s balance sheets on average. In addition, the research found that those smaller businesses that do secure bank loans are likely to do so on less favourable terms and conditions than larger businesses.

“Cold shoulder” from lenders risks harming growth

Ten years on from the global financial crisis, the report highlights that major bank lenders are still giving the “cold shoulder” to SMEs, leading to an impact on recovery amongst small businesses. Managing director of Oxford Economics Sam Moore says the research’s findings offer “a stark reminder” of “the uphill challenges [small businesses] face when dealing with the traditional banking sector,” adding that “this could act as a serious curb on future growth” for SMEs. “Despite the vast economic output generated by SMEs, who are responsible for 60% of all jobs in industrialised countries and 50-60% of GDP, banks are continuing to focus on loans to larger firms,” analysts note. Funding Circle’s Bernando Martinez speculates that the lack of bank backing for SMEs is due to the perceived riskiness of lending to small firms, adding: “Small business lending is simply less profitable for a bank than some of their other business lines.”

UK government launches platform to stimulate fintech SMEs

In a bid to mitigate the risks of insufficient lending to some SMEs, the UK government announced in May the launch of a new platform aimed at stimulating growth among small businesses in the fintech sector. The FinTech Alliance will help British fintech SMEs to access funding and grow. Terming funding access as “vital” for SMEs, chair and PM Business Ambassador Alastair Lukies said the initiative would “help stimulate much needed growth in the regions as well as in the other [parts] of the UK.”

Have you have a request for a bank loan rejected ?

Whatever your need for the extra capital, whether it was to fund expansion and growth, to meet some short term costs or to fund a specific purchase, it can be frustrating when the bank manager turns down the request.

Rather than have to deal with difficult bankers, do you realise there may be a hidden source of capital within your business waiting to be activated.

If you trade with other businesses and were often paid late then you could be entitled to significant compensation.

Under little known and barely used legislation your business could be due huge sums that you didn’t even know you were due.

No need to fill out loads of forms or make projections. CPA can unlock the compensation you are due from former clients. We have the technology to search your accounting records and uncover that hidden compensation. Once you choose which claims to pursue, we putour expertise to effect to recover what you are due.

That compensation could be the cash injection your business needed.

How can CPA help?

CPA has developed a unique technology to dig into your accounting records and discover the cash injection you are due by means of compensation. The software does all the hardwork. Our software interacts over the cloud with over 300 different software packages, working directly with your accounts package, just so long as it’s stored on a computer.

The Credit Protection Association plc (established 1914) has spent 3 years researching the accounting, technical and legal implications of Late Payment Legislation and our staff and retained solicitors probably have as much working knowledge of this legislation as could be found anywhere.

We recognise that most companies do not have the resources to spend time on the identification and calculation of Late Payment Compensation. Our service can produce an Analyses within just a few days with (usually) less than 30 mins of co-operation from our clients. We work directly with over 300 accounting packages but can also work with bespoke accounts packages. Indeed, speed is essential as the oldest invoices may fall foul of the 6-year time limit.

Once the Sales Ledger Analyses is made available to clients, all that is required is that management decide which commercially sensitive ex-customers to remove from the list and return it to us.

CPA then uses its years of collection experience to explain and recover the Late Payment Compensation Claims. Clients do not handle any part of the recovery process as our team will take all communications from the companies against who the claims has been made. Often, it’s simply a case of explaining the legislation, sometimes we have to go all the way and enforce the legislation through the courts.

The result is that we are realising clients’ claims worth tens and sometimes hundreds of thousands of pounds which, of course, is pure net profit.  You may also be among the recipients of “hundreds of thousands of pounds” should you elect to take advantage of our services.

We do the work, you receive the cash.

If you have supplied goods and services to businesses on credit and were regularly paid late then you could be due significant sums in late payment compensation.

We are talking to companies and unearthing claims in the hundreds of thousands from former business customers who paid them late. Large business customers who abused their power to inflict unfair and sometimes illegal payment practices.

We are helping companies that were looking to close down, who looked insolvent and finding that cash injection they need to avoid insolvency.

CPA is passionate about late payment

The Credit Protection Association has been protecting smaller firms against poor payment practices for over 100 years.

We are passionate about breaking the late payment culture that holds back the UK economy and threatens many SMEs with cash flow difficulties being the single biggest killer of Britain’s small businesses.

If you were regularly paid late we can help. Those former customers used you to boost their own cash-flow, regularly paying you late.

As a result you had extra costs, you had the distraction of having to chase payment, you had opportunity costs because your capital was tied up in their late invoices.

Under little used legislation, you are entitled to compensation for those late payments.

Now you can boost your own cash-flow.

CPA can help unearth the those hidden treasures.

We have the technology to reveal the compensation you are due and we have the extensive experience and expertise to then turn those claims into cash.

Yes, CPA can help you boost your business cashflow.

Don’t let your bankers control you,  contact CPA today.


Read our blog here on how to crack down on the late payment culture.

Read our blog here on how to give late payers the slap they need.

visit our late payment compensation page

See our full blog and FAQ on late payment compensation


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For help or advice on credit management, entirely without obligation.

Call us today

0330 053 9263

The Credit Protection Association is a credit management company established in 1914. If you supply goods or services on credit then we can help you!

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About CPA

The Credit Protection Association can help!

Formed in 1914, CPA has been providing credit management services to SMEs for over 100 years.

At the Credit Protection Association, we provide first class credit information that can help you avoid being over extended to customers who are at risk. Our monitoring service can flag up warning signs long before the end, giving you the chance to adjust and reduce your exposure. We provide recommended credit limits and credit scores on a traffic light system and can help you set appropriate credit policies for your customers.

We regularly publish lists of the latest insolvencies but by then it is too late. Our credit reports however predict approximately 96% of company insolvencies long before they arrive.

Companies in trouble usually have very bad bad cash flow and they try to deal with it by delaying payment to their suppliers, increasing your exposure to them.

If you supply to big companies like office outlet or small ones, help us help you identify the risks.

Why use a third party collector?

As a third party collector, we can also get your payments prioritised over those who are not as hot on collections. When you customer receives a letter from the Credit Protection Association regarding their outstanding account, they are going to want to get that resolved as a priority. Our overdue account recovery service can get your unpaid invoices to the top of their “to do” list and get your invoice paid.

Over the years we have collected billions in overdue invoices for our customers.

Our debt recovery and credit management services give our members the financial freedom needed to grow and prosper, while our new Late Payment Compensation department could unlock hidden potential and offer the compensation needed to springboard your business to success.

See all our latest news here!

How to overcome 25 of the most common excuses for non-payment

Discover how to improve your cashflow in 3 steps.

Read our blog – Debt collection agency

Read our Cash Flow Advice

Read about our overdue account recovery service

Read our blog – What is credit management?

Read our blog -What is a credit management company?

Read our blog -Credit Management that works!

Read our blog – How to select a debt collection agency

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