§ 39. Mr. Neil Hamiltonasked the Paymaster General if he will make a statement on the current take-up of funds on the loan guarantee scheme.
§ Mr. TrippierThere has been an encouraging improvement in the take-up of the scheme since the changes announced in the Budget earlier this year came into effect. From 1 May 1986 to 30 November 1986, 668 guarantees were issued to cover loans to the value of £25.74 million. For the scheme as a whole 17,269 guarantees to cover lending of £565.15 million have been issued since 1981.
§ 59. Mr. Altonasked the Paymaster General if he will make a statement on the recent responses of bank managers at branch level to the current loan guarantee scheme for small businesses.
§ Mr. TrippierI am currently discussing with bank staff, at a series of regional meetings, the use of the loan guarantee scheme. The discussions have been interesting and worth while and have covered ways in which use of the loan guarantee scheme might be increased. I believe that there are many sound business proposals that could take advantage of the scheme.
§ 64. Mr. Hargreavesasked the Paymaster General if he has any plans to extend the loan guarantee scheme.
§ Mr. TrippierOur decision to extend the loan guarantee scheme for three years to March 1989 was announced earlier this year. I have taken a number of steps to promote awareness and usage of the scheme, including production of a promotional video and a series of regional meetings with bank managers and financial advisers.