Tuesday June 2nd 2026
Chief Banking Officer, British Business Bank, Reinald de Monchy
Written by Midlothian View Reporter, Liam Eunson
The British Business Bank today announces that it has reached the landmark milestone of unlocking £200m of debt finance for smaller businesses in Scotland under its Growth Guarantee Scheme, £9.7 million of which went to businesses across East Lothian and Midlothian.
This places East Lothian and Midlothian ahead of several other Scottish sub-regions for lending, reflecting strong demand for finance among local small businesses in the area.
1,283 Scottish businesses have benefited from the funding, delivered through 32 lenders operating in Scotland. 58 businesses in East Lothian and Midlothian have directly benefitted, and the finance is helping drive growth in local economies across the nation.
The Growth Guarantee Scheme supports access to finance for smaller businesses as they look to invest and grow, with facility sizes of up to £2m.
The funding has supported businesses across all sectors of the economy, including more than £30m to the wholesale and retail sector, £20m to manufacturing, £17m to the construction industry, £16m to smaller businesses in the hospitality sector and over £10m to agriculture.
The majority of the scheme’s facilities provided across Scotland were used to purchase or hire specific equipment and machinery (36%), support general working capital requirements (24%), or for business expansion (21%).
Scottish Secretary Douglas Alexander, said: “The British Business Bank’s Growth Guarantee Scheme unlocking £200m for small businesses in Scotland is a significant milestone and a real demonstration of the UK Government’s commitment to supporting Scottish enterprise.
“From the Highlands to the Central Belt and Scottish borders, businesses across Scotland are accessing the finance they need to grow, create jobs and boost our economy. This funding backs Scottish ambition and helps drive economic growth to benefit communities across the country.”
Blair McDougall, Minister for Small Business and Economic Transformation, said: “This is an important milestone, demonstrating this Government’s commitment to improving access to finance for smaller businesses right across Scotland.
“By unlocking vital funding, we are ensuring that East Lothian and Midlothian’s most ambitious and innovative firms have the finance they need to invest and grow, creating jobs, boosting their local economies and raising living standards.”
Reinald de Monchy, Chief Banking Officer, British Business Bank said: “Reaching this £200m lending milestone for the Growth Guarantee Scheme in Scotland is a significant achievement. It is a clear sign of the strength and ambition of Scotland’s smaller businesses and our delivery partners in Scotland, and testament to the success of the scheme. This funding is helping Scottish firms invest, innovate and grow, and we’re proud to see the scheme making such a tangible difference across the country.”
The Growth Guarantee Scheme offers lenders a 70% government-backed guarantee, enabling them to provide more debt finance to smaller businesses. The borrower always remains 100% liable for the debt. Launched on 1 July 2024, the scheme covers term loans, overdrafts, asset finance, invoice finance and asset-based lending.
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