Titan Business Insurance reports that the poor results being reported by the banks are worrying many SMEs who are struggling to survive in very difficult times.
Titan Business Insurance says that the recent results by the Royal Bank of Scotland, which showed a loss of £2 billion compared with £1 billion, is particularly worrying for SMEs as it means that by default, less money will be available for working cashflows and investment.
What’s worse says Titan, is that this is the bank’s fourth year of losses since it was bailed out by the tax payer in 2008 – the start of the crisis. The bank if now four fifth owned by the state and a recent report suggested that it could be decades before that investment is repaid.
Chief Executive Officer of Titan Business Insurance, Basil Tsapralis, said:
“Many of the banks are reporting flat or worse results, which is just what SMEs do not want to hear. With the banks struggling to show meaningful growth themselves, it means that more pressure is being placed on their customers as they struggle to fund their businesses on a daily basis and get cash for the future.
“There’s that horrible feeling that until the banks are back into growth mode, and not defending, or repairing their balance sheets, things are going to continue to be very tough for SMEs.”
Titan Business Insurance is a specialist broker which handles the insurance needs for mainly SMEs. It has clients throughout the UK and is known for competitive pricing, supported by high levels of customer service.
