SMALL firms are still having problems accessing new finance, with nearly a fifth seeing a rise in bank fees, according to a new report today.
A survey of more than 6,000 members of the Federation of Small Businesses showed that a third reported that their banks were imposing a change in their financial arrangements which made them less well-off, such as reducing overdraft facilities and requesting more security for loans.
A third of small firms said their bank was less helpful now than it had been before the credit crunch began, and two out of five had cut staff numbers or hours.
FSB spokesman Professor Alistair Anderson said: “These figures demonstrate how times are really tough for small firms and how access to finance continues to be a real challenge, with the majority indicating that the banks are failing to be more helpful – precisely at a time when small businesses most need their support.”
