Small Businesses: Finance

Debate between Lord Newby and Lord Scriven

Wednesday 25th February 2015 Lords Chamber

[Lord Newby]

My Lords, as the noble Lord knows, the insurance industry has a payment code and we are encouraging all firms in the industry to abide by it.

[Lord Scriven (LD)]

What action will the Government take on non-traditional funding for small and medium-sized businesses such as crowdfunding, which is becoming a far more important route to gaining funds for small and medium-sized businesses?

[Lord Newby]

My Lords, the Government have been supportive of the peer-to-peer and crowdfunding lending sectors and have removed barriers to ordinary people making investments while limiting their exposure to risk. So far this support has included allowing peer-to-peer lending to be included in ISAs and to be eligible for bad debt relief, channelling investment from the British Business Bank towards peer-to-peer, and helping investment crowdfunding take off through the enterprise investment scheme.