Government-backed Loans SMEs 2026-01-27

2026-01-27

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Questions & Answers

Q1 Direct Answer
Jo White Lab
Bassetlaw
Context
Matthew Pendleton, owner of Apawtiser, a dog treat company in Bassetlaw, needs financial support to expand his business and employ more staff.
I recently met Matthew Pendleton, who owns Apawtiser, a high-quality dog treat company. The company grew legs because processed dog food had made his pet dog violently ill. Matthew now needs the finances so that he can continue to expand, employ more staff and get Apawtiser on the national pet food map. I want to see businesses such as these succeed in my area, and Matthew’s small ask is: will the Government step in with the offer of an underwritten loan?
The Government extended the growth guarantee scheme, enabling £5 billion-worth of loans over the next four years. This will support businesses like the one mentioned by the hon. Member and I would be more than happy to meet her to talk about how her constituent might access that support.
Assessment & feedback
Response accuracy
Q2 Partial Answer
Context
DRIFT Energy, a renewable energy innovator in Bath, faces serious investment challenges and difficulties in accessing grant funding from any Government Department.
First-of-a-kind technologies such as DRIFT Energy in Bath face serious investment challenges and difficulties in accessing grant funding from any Government Department. DRIFT is a groundbreaking renewable energy innovator that could rapidly scale and contribute to the UK’s energy independence. What are the Government doing to ensure that first-in-kind technologies in particular receive the support that they need here in the UK, rather than being forced to go abroad?
The Government increased the financial capacity of the British Business Bank to £25.6 billion. There are a number of ways in which the British Business Bank will support companies like the one mentioned by the hon. Member.
Assessment & feedback
No specific measures or timeline were provided for supporting first-in-kind technologies
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Q3 Partial Answer
Meg Hillier Lab/Co-op
Hackney South and Shoreditch
Context
The National Wealth Fund plays a crucial part in investing taxpayers’ money, but the Government’s response to the Select Committee's report on this issue has not set a date for when the fund will have the ability to borrow from private markets.
As well as the British Business Bank, the National Wealth Fund plays a crucial part in investing taxpayers’ money. I welcome the Government’s response to the Select Committee’s report on that issue. Will the Minister indicate when the National Wealth Fund will have the ability to borrow from private markets in order to increase its independence, secure funding for infrastructure, and get the taxpayer off the hook?
We have not set a date for when the National Wealth Fund will have the ability to borrow from private markets, but I am more than happy to write to the hon. Member with further information.
Assessment & feedback
No date was provided for the borrowing capacity of the National Wealth Fund
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Q4 Partial Answer
Tim Farron LD
Westmorland and Lonsdale
Context
80% of the recent deployment of the growth guarantee scheme was outside London, but there is concern about how smaller businesses with 10 or fewer employees can access loans.
Has the Minister assessed what proportion of British Business Bank grant funding goes to the smallest of businesses? One in four people in my constituency works for themselves or for very small businesses. To what extent is she working to ensure that smaller businesses—those employing 10 people or fewer, which are the very bedrock of our economy in the lakes and dales in Cumbria—know about the availability of those loans and are talked through the difficult process of applying for and receiving them, so that we can invest in rural communities like mine?
The Government support small businesses through a range of ways. On businesses in his area, 80% of the recent deployment of the growth guarantee scheme was outside London.
Assessment & feedback
No specific measures were provided to ensure smaller businesses know how to access grants
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