McGlone Raises Banking Issue With Influential Oireachtas Committee

SDLP Economy spokesperson Patsy McGlone has said banks must work better with small businesses in assisting lending if our economy is to be reinvigorated.

The Mid Ulster MLA was speaking after a meeting with the Joint Oireachtas Committee on Jobs, Enterprise and Innovation, whereby he pressed TDs to also raise the issue with Southern banks.

He said: "Banks must work better with small businesses to stimulate lending if our economy is to recover. There are so many strong, profitable businesses in our local communities that are really struggling with cash flow problems, while many others cannot get the necessary finance to expand.

"Banks have moved from being totally reckless to the point of not taking any risks at all and it is vital that a better balance is struck and greater assistance is given, where possible, by banks to help small businesses continue in operation and flourish.

"It is extremely concerning that banks who were bailed out by the Irish Government to the tune of €70billion are not working for and supporting the development of SMEs, and despite the fact that they were saved by taxpayers, the public cannot hold them to account.

"I urge banks to be reasonable and to show a degree of flexibility toward local enterprises rather than strangling them with bureaucracy and red tape.

"Small businesses are the bedrock of our economy and if we are to excite job creation, they must be supported by banks and government."

(CD)