Interest-free loans offered to businesses affected by UK flooding
10 Jan 2014
A fund worth £250 million is to be made available to UK businesses after strong winds and heavy rainfall led to severe flooding in many parts of Britain.
The recent severe weather resulted in damage to hundreds of business premises across the country.
Launched by the banks NatWest and RBS, the fund will be used to provide these businesses with interest-free loans for up to three months. It will not just be restricted to existing customers, but available to all businesses affected by flood damage.
The maximum a business can borrow will be £250,000 and this money could be used to repair damaged premises or to replace damaged stock and equipment.
Chris Sullivan, chief executive of the NatWest/RBS Corporate Bank, said ‘many firms have taken a real hit to their livelihood…we’re making additional support available because we know how important it is to the loan economy and communities to get these businesses operational again’.
Local authorities in some areas have also pledged to help, with Somerset County Council promising £250,000 to those who have been hit by flooding.