Medium-sized firms 'need greater financial support'

Date: 24/10/2011

Medium-sized businesses looking to expand their operations and purchase new revenue share numbers may agree that greater financial support is required.

The Confederation of British Industry (CBI) has just released a new report looking at how these firms can help the recovery of the UK economy.

It was noted that although they represent less than one per cent of all companies, they have the potential to create 16 per cent of all jobs and generate 22 per cent of economic revenue.

Furthermore, by 2020 medium-sized enterprises could pump between £20 billion and £50 billion into the system.

However, the CBI believes greater financial support must be provided, as the bank loans currently on offer are not enough.

Director-general of the organisation John Cridland said: "We should be championing, nurturing and encouraging our medium-sized firms so that more of them grow and create jobs."

This comes after Michael Baxter, economist and author of The Blindfolded Masochist, claimed the government should do more to support the UK's entrepreneurs.