Medium-sized UK businesses could benefit from the £6m set aside by the government to boost the number of available trade advisers, announced George Osborne in a speech to business leaders in Brazil.
The Chancellor, speaking in Rio de Janeiro, also said that new measures for banks to borrow from the Bank of England would make lending to exporting firms less risky, meaning mid-sized firms wanting to start exporting their goods and services could find themselves more likely to raise the necessary funding.
This news comes after the British Chamber of Commerce (BCC) announced that UK service export sales are at an all-time high, demonstrating the strength of UK exports globally. Areas such as accountancy and IT have been particularly successful for UK exports in recent months.
Q1 2014 was also successful for the manufacturing sector, with consistent growth and a strong indication that this sector is well on the way to the recovery after the turbulent few years following 2008’s global recession.
However, it is still vital that UK exports remain strong and become a more important element of the UK’s long-term economic future, said the BCC. It is hoped that Osborne’s plans for extra funding and reduced risk loans for exporters will ease the pressure on mid-sized firms, helping them reduce the UK’s large current account deficit by capitalising on the ever-popular ‘Brand Britain’.
In his speech, Osborne also emphasised that he feels that he has ‘overlooked’ Brazil in recent years, and wishes to strengthen the trade relationship between the UK and South America in the future. To maximise the potential of UK-based mid-sized companies, it is important that as many trade paths are opened and maintained as possible to create new opportunities for businesses throughout Britain.