A 拢1.25bn support package to support high-growth potential firms, from tech to life sciences, hit by the impact of the coronavirus has been announced.
Chancellor Rishi Sunak said the initiative would include a 拢500m investment fund for companies hit by the crisis.
The funding would come from both the Government and private sector, he said.
Small and medium-sized firms specialising in research and development will be eligible for access to 拢750 million of grants and loans.
Mr Sunak, said: 鈥淏ritain is a global leader when it comes to innovation.
鈥淥ur start-ups and businesses driving research and development are one of our great economic strengths, and will help power our growth out of the coronavirus crisis.
鈥淭his new, world-leading fund will mean they can access the capital they need at this difficult time, ensuring dynamic, fast-growing firms across all sectors will be able to continue to create new ideas and spread prosperity.鈥
The 拢500 million Future Fund will be delivered in partnership with the British Business Bank and will be launched in May.
It will provide 海角视频-based companies with between 拢125,000 and 拢5 million from the Government, with private investors at least matching the Whitehall commitment.
The loans will convert to equity if not repaid.
To be eligible, a business must be an unlisted 海角视频 registered company that has previously raised at least 拢250,000 in equity investment from third-party investors in the last five years.
Ministers are committing an initial 拢250 million in funding towards the scheme, which will initially be open until the end of September.
In Wales though there are only a relativeli small number, around 50 firms, that have raised 拢250,000 over the last five years.
And having raised growth finance would they now be in the market for raising fresh capital under the scheme, assuming of course they could find investors to match fund it?
Labour鈥檚 shadow chancellor Anneliese Dodds said: 鈥淲e have expressed major concerns about the ability of start-ups and innovate firms to weather the current crisis, not least because many fail to benefit sufficiently from existing programmes to stay afloat.
鈥淲hile welcome, the devil will be in the detail of how firms can qualify for this funding and how long it will take to arrive.
鈥淕iven the very low rate of acceptance of applications for the small business loan programme, and the pressing and current time pressures facing many firms, this funding must be available quickly and with a minimum of paperwork if we are to prevent even more firms going bust.鈥
Federation of Small Businesses national chairman Mike Cherry said: 鈥淭oday鈥檚 announcement will be a vital cashflow boost for many smaller businesses at the forefront of technological development and innovation.
鈥淭his is an investment in transforming our futures, as these SMEs focus on research and development in key areas such as life sciences, artificial intelligence, big data, and clean energy.鈥
