VINCE Cable yesterday named the first chairman of the government’s new British Business Bank, a body designed to support lending to small and medium-sized firms, as banker-turned-academic Ron Emerson.
The appointment marks the biggest step to date in setting up one of the business secretary’s flagship policies: a state-backed bank to boost lending for firms that have been cut off by the post-financial crisis drought of bank funding.
The bank aims to facilitate lending worth £10bn over the next five years by drawing existing government schemes under a single umbrella and by using a £1bn funding boost announced in the last budget to stimulate traditional lending.
Emerson left the banking industry in 1996 after spells at Nomura, Standard Chartered and Bank of America and has since held academic and consulting roles.
City A.M. Reporter