Friday, February 1, 2013

British businesses struggling to find funds

http://www.economist.com/news/britain/21569412-flow-credit-british-business-continues-dry-up-latest-policies-may-yet-open

Great Britain is seeing drastic economic struggles due tot he face that businesses are having a very tough time receiving capital to start new ventures. It is affecting both the small market sector and also the major markets, because even major companies are not going to risk extra debt during the extra tight times that their economy is facing. Part of the problem is the banks themselves due to the fact they are having a tough time gaining capital and assets making the interest rates remain high even though people are trying to save the economy. Many things such as the enterprise finance guarantee and also the "Project Merlin" stimulus packages that were trying to help make the economy work better and make it easier for businesses to gain loans. The latest attempt to try and stimulate loans is that businesses can get loans directly from the bank of England to make it much easier to try and get loans and at a better rate than before.

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