Dr Vince’s Bank

The latest sound-bite, destined to disappear into the wilderness of “Great Political Ideas that Died on the Vine” emanates from the Secretary of State for Business Innovation and Skills (“BIS”)  aka in these parts (“TDC”) – The Department of the Clueless.

In an effort to maintain their corporate goal of providing to British business every assistance possible apart from actual help, Dr Cable announces the formation of a Government-backed bank to increase lending to business.  Well, he might indeed have announced it but there are just a few tiny obstacles to it actually being able to transact any business…The good doctor has no idea of its size, route to market, internal modus operandi nor staffing, amongst many other gaps to be filled.  I wonder how long he will have to wait to get an appointment with the financial services regulators? Cynical!! Who? Me!?!

One certainty in relation to this great new proposed institution is that my phone will not ring.  Fifteen years post qualification work in banking coupled with 20+ years consulting in the SME sector renders me and those like me disqualified.  After all, we couldn’t have those who know what they’re talking about actually driving this to success when there are countless civil servants ready, willing and able to spend billions of pounds of taxpayers’ money creating a state run monolith.

What we have, once again from this Government, is a concept – and not a very original one either. Given BIS’s previous offerings, I think one can safely bet that it is unlikely to see the light of day before the next general election.  It also seems to be directed at the high-tech and services sectors.  Very sadly, there is again nothing – not even jam tomorrow – for the many low-tech, low-flying SMEs that are totally punch-drunk courtesy of this dreadful recession.  When we are told what a fantastic job the SME sector is doing, it is perhaps worth pointing out that such jobs that are being created seem to be mainly low paid and part time as the economic wheel continues to slow.

Across the entire SME sector, I detect managing director/owners becoming increasingly frustrated at Government activity masquerading as delivery…Prime Minister, please take note.

Across the floor of Halitosis Hall, there isn’t (and hasn’t been for a very, very long time) anything sensible emanating from The Lot Too Stupid To Elect The Correct Brother.

It seems to me that we, in the SME sector that is so vital to the UK economy, must again look after ourselves.  My fellow blogger, Dirk van Dijl, is a great exponent of crowd-funding.

Perhaps its moment has come.

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