Tax-payer owner banks still won't lend, says ISME
Published 11/11/2011 | 08:52
ISME - the smalll business association - claimed today that taxpayer-owned banks are failing to lend.
According to ISME's chairman John Ryan, these banks are refusing credit to most small businesses and imposing "unfeasible" terms on others.
He claimes: "It is about time that the individuals who run the banks were reminded of their responsibilities to the wider economy and start contributing to economic growth instead of delaying our economic recovery."
Mr Ryan urges En da Kenny to ensure that credit is made available to viable businesses, through alternative sources if not by the banks.
This could happen through a State investment bank - or alternative forms of finance from the European Investment Bank.
He also suggests that the Government should allow business owner-managers to use part of their pension funds to re-invest in their businesses.
ISME is holding its annual conference today.