Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what plans he has to ensure that small banks have access to adequate capital to offer eligible customers Bounce Back loans.

Our position has always been that the Government does not provide capital to financial institutions, who must source their own funding.

Challenger banks and non-bank lenders among the 29 accredited lenders under the Bounce Back Loan Scheme have played a vital role in providing 1.4 million businesses with vital financial support worth over £42 billion.

The Treasury recognises the vital role that challenger banks and non-banks play in the provision of credit to SMEs. It is grateful for the way the sector has responded to the current crisis, and remains committed to promoting competition and widening the funding options available to UK businesses.