Government partners with Rural Asset Finance to give the Farming sector a £120 million boost

By Chris Wright, Consultant and ARA specialist

There is a major financial boost coming for British Farmers after the Rural Asset Finance (RAF) became a partner of the state owned, Government backed British Business Bank.

Becoming a partner is expected to give farmers an opportunity to explore plans to improve their facilities, expand their services and improve infrastructure.

The partnership will enable the Rural Asset Finance to loan £120 million of additional funds to give farmers much needed support and maximise new opportunities.

How does the deal work?

The new funding scheme in place allows the Rural Asset Finance to loan £120 million of additional funds provided by NatWest Bank and BCI Capital with the British Business Bank guaranteeing a large proportion of NatWest’s contribution.

The guarantee in place reduces the price of the overall risk of applying for extra funding and gives the Rural Asset Finance the ability to offer farmers competitive finance packages and agreements.

What does the deal mean for farmers?

For farmers, it gives the industry much needed support and funding. Farmers across the UK will have plans for their farms and businesses, and this is the perfect opportunity to capitalise and start putting plans in place.

It’s competitive funding that gives farmers and other agricultural businesses the opportunity to grow, expand and enhance their facilities.

Seizing this opportunity for extra funding enables you maximise the potential your farm has, get your plans in motion and increase your revenue and profits.

In addition to this, the funds available could also play an important role in helping future proof your business, maintain stability and plan for changes that may come given the UK’s current economic climate.

Ready to maximise your farm’s potential?

The deal secured by the Rural Asset Finance gives you the perfect opportunity to grow your business and help you realise its potential.

Before you considering applying for the additional funds, you speak with legal experts you can advise and guide you to ensure you understand your position legally and financially.

Legal experts can help you look over your plans, analyse the potential costs involved as well as answer any questions you have.

If you’re ready to explore new ventures, expand your services or raise finance for your farm, get in touch with us.