Simmons & Simmons have advised British Business Financial Services Ltd, a subsidiary of British Business Bank plc (the British Business Bank), in its consultancy role for HM Treasury under The Small and Medium Sized Business (Finance Platforms) Regulations 2015 (the ‘Regulations’).
The British Business Bank was appointed by HM Treasury to assess the suitability of the finance platforms that applied for designation under the Regulations. Simmons & Simmons worked as an integral part of the project team that carried out the due diligence on the finance platforms that were shortlisted for designation. The outcome of that process was announced by UK Chancellor George Osborne MP in Wednesday’s Budget.
This is a project at the forefront of the UK government’s plans to help SMEs obtain financing from alternative sources and boost the UK economy. It was the firm’s market leading FinTech expertise that led to it being instructed to act as sole advisor to the British Business Bank in an area that is at the forefront of the UK’s fast evolving FinTech sector.
Commenting on the transaction, partner and head of the firm’s FinTech group, Angus McLean, said: ‘‘It was a privilege to work so closely alongside the British Business Bank’s impressive team on this important project. The mandatory referral scheme established by the Regulations could make a very meaningful difference to the ability of UK SMEs to access finance. If the objectives of the Regulations are realised, this project should have a tangible impact on the UK economy and help boost the UK’s already thriving alternative finance sector.
The successful outcome of the project was also a further endorsement of the British Business Bank’s innovative (and award winning) approach to the way it works with its external legal advisors. The Simmons & Simmons team were treated as an integral part of their project team, which greatly enhanced our ability to achieve the best outcome for the British Business Bank and, ultimately, the UK government.’’
Alice Hu Wagner, British Business Bank’s Managing Director for Strategy, Economics & Business Development said: “We were delighted to work with Simmons & Simmons on this important project. The strongly integrated approach shared by both our internal team and our advisers meant that we were able to deliver our due diligence assessments for HM Treasury efficiently, effectively and to an ambitious timetable.”
The Simmons & Simmons team was led by partner Angus McLean, supported by Penny Miller (Partner, Financial Services Regulation), Lawrence Brown (Managing Associate, ICT), Louise Tudor-Edwards (Associate, Financial Services Regulation) and Mandy Adogla-Popovic (Associate, Financial Services Regulation).
This advice follows on from recent guidance from the firm’s capital markets team, who advised the British Business Bank on the successful closing of the first transaction of its innovative ENABLE Guarantees programme, designed to stimulate increased lending to SMEs by reducing the capital costs of such lending. The British Business Bank’s press release regarding this is available here - http://british-business-bank.co.uk/british-business-bank-rolls-out-enab….
