With the Bank of England hinting at potential rate cuts, SME loan approvals jumped 8% in April, signalling optimism among small businesses and opening opportunities in financials and fintech.

Lending Data Breakdown

Lending by Sector

• Retail: +12% approvals as firms stock up for seasonal demand.
• Manufacturing: +8.5% as companies secure export-ready capital amid cost pressures.
• Professional Services: +6% driven by tech upgrades and talent hires.

Lending by Region

• London & South East: +10% approvals, led by fintech and creative SMEs.
• North West: +9% as Manchester and Liverpool firms expand logistics and manufacturing.
• Scotland: +7% fueled by renewable-energy and tourism investments.

Fintech and Bank Picks

• Funding Circle: Online SME lending leader with rapid, data-driven approvals.
• Starling Bank: Digital-first SME banking and flexible credit lines for growth-focused entrepreneurs.
• Barclays SME Lending: Broad UK reach with tailored credit packages and personalised support.

Actionable Investment Tips

• Hold Banks with SME Exposure: Back lenders like Barclays or Lloyds with diversified SME loan books and solid credit profiles.
• Lean into Fintech Lenders: Allocate to high-growth platforms such as Funding Circle for scalable, tech-driven credit solutions.

Subscriber Insight

Advisor’s Gateway subscribers access our SME-Credit Tracker for real-time approval data, spotting volume surges and emerging fintech disruptors before the market.

Lending a Hand

SME lending growth marks a turning point for the UK economy. Subscribe Now for fortnightly insights on banking and fintech plays tied to this credit resurgence.