Former ICAEW chief seals SME finance deal

AN INVESTMENT GROUP headed by former ICAEW chief executive Eric Anstee is one of four firms picked help launch a new government SME finance initiative.

The City of London Group, of which Anstee is CEO, has been awarded a £5m ‘mandate’ on behalf of the Department of Business, where the government will match the group’s investment into the SME community.

City of London’s funding subsidiary, Credit Asset Management, invests in small business – and in particular to professional services.

The Business Finance Partnership was announced by the government on 29 November 2011 as part of an initiative to support SME growth across the UK.

A total of £110m in mandates will be issued to increase the flow of credit through ‘non-traditional’ channels.

Anstee has been vocal in the past about the need for government to do more to provide SMEs with financing options.

Of the new scheme, he said: “We look forward to sourcing similar mandates from institutional investors looking for attractive returns from backing UK SMEs.”

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