Mon, 07 Apr 2025

Mon, 07 Apr 2025 Lloyds accused of failing small firms as it cut lending

Business owners have told the BBC their businesses collapsed, blaming the bank's treatment.
A former employee of the bank has come forward to say that from 2009 onwards, the approach to lending became "don't lend", and instead focus on getting as much money back as possible from existing clients. The whistleblower also claims that the bank planned the administration of companies in advance, ignoring their business plans and not interested in saving them. Several business owners have spoken out about their experiences with Lloyds, including Martin Woolls, who had his interest rates surge to 26.4% on his overdraft, and Keith Elliott, whose car auction business was forced into liquidation after the bank introduced him to its BSU. Kashif Shabir, a property developer, claims he was pushed by the bank into a "fire sale" of his assets. Lloyds has responded by saying that these historic allegations have been thoroughly investigated and found to be unsubstantiated. They also deny that they planned the administration of companies in advance or ignored their business plans. However, multiple business owners claim that the bank's actions had devastating consequences for their businesses, leading to collapse and financial ruin.
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