Meg Hillier
Main Page: Meg Hillier (Labour (Co-op) - Hackney South and Shoreditch)Department Debates - View all Meg Hillier's debates with the Department for Education
(10 years, 9 months ago)
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Vince Cable
Yes, there is a high level of confidence, and it is reinforced by fact. Indeed, the output and spending figures are reinforcing the trend that the hon. Gentleman describes. There is, however, a continuing problem regarding credit to the small and medium-sized business sector. We are not complacent about that, and the interventions we are making will help.
Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)
Many businesses in my constituency tell me that their biggest problem is the withdrawal of overdrafts, and they are sometimes offered big and unwanted loans instead. Is the Secretary of State monitoring that trend, to ensure that banks are not fiddling the system to benefit themselves, and to attack small businesses that have cash-flow issues but do not need big loans?
Vince Cable
One positive thing is that we are now getting a growth of specialist institutions that provide small businesses with a type of finance—Aldermore provides asset-based financing or new kinds of invoice financing to deal with cash flow or investment as required. However, the hon. Lady is right to say that there is a particular problem in that area of the market.