Raising Finance

Government pumps more funds into Start-Up Loans scheme

2 min read

12 September 2013

The government today announced an injection of cash into its Start-up Loans and New Enterprise Allowance schemes.

Prime Minister David Cameron today announced a £69m injection of funding into two government schemes aimed at supporting new British businesses.

The money will help create an additional 60,000 places for the New Enterprise Allowance, which helps fund and mentor unemployed people who want to start a business.

The Start-Up Loans scheme, which is available to help grow businesses in their infancy, will be boosted by £34m of the cash, which is expected to help around 7,600 small firms.

The money will fund the extension of the scheme to the over 30s and a roll-out in Scotland and Wales.

Cameron says: “I am determined to do all I can to support the British economy and that includes helping small businesses and budding entrepreneurs to get on.

“In the last two years we have helped tens of thousands of people to turn their ideas into a viable business, and this additional support will help thousands more.

“My message is simple: if you have drive, determination and are prepared to work hard, we will back you.”

Reggae Reggae Sauce founder Levi Roots is helping the Department of Work and Pensions promote the New Enterprise Allowance scheme.

He says: “Before I went to Dragon’s Den, I needed help to get my idea off the ground. That is what these schemes are about.

“They give you the financial support and the business advice you need to take the next step. Starting your own business can be tough but I’d encourage people to give it a go.”

John Allan, National Chairman of the Federation of Small Businesses, says: “Over 30,000 people have been helped to set up in business thanks to the New Enterprise Allowance (NEA) so it is pleasing to see the Government announce additional funding today. 

“By extending the scheme until the end of 2014, more and more unemployed people will be able to access financial and mentoring support to turn their business idea into a reality.”

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