A report by TSB reveals that giving small businesses access to better banking products and advice could not only give them a 10% increase in their productivity but boost the UK economy by £70 billion.
SME success and productivity rates are essential to the UK economy, but often these small businesses struggle due to lack of support.
The report shows that few SMEs feel they get value from their bank:
These results show that small businesses are missing out on services from their bank that could help them accelerate their growth. Over three-quarters (76%) feel they do not have the confidence for their business to be more digital, suggesting there is a big opportunity to provide more support to help more SMEs take advantage of going digital.
TSB’s SME banking director, Richard Davies, said: “Small businesses are the beating heart of our local communities, but as our research shows, more needs to be done to help them start, run and grow.”
In order to remove the barriers for growth for UK SMEs a new approach must be implemented:
If all small businesses in the UK had access to these types of productivity gain it could deliver a £70 billion boost to UK GVA. TSB noted that even if only 1 in 10 small businesses were to benefit, the impact on our economy would be significant.
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