British Business Bank has strengthened its support for the agricultural sector by providing specialist lender Oxbury Bank with an additional £10 million in Tier 2 capital. This latest injection builds directly on the initial commitment of £25 million in 2022, bringing the total Tier 2 facility to £35 million. The move comes as Oxbury celebrates five years of lending to Britain’s food and farming businesses and underlines the government-backed institution’s ongoing commitment to small and medium-sized businesses (SMEs) is at the center of the rural economy.
Oxbury specializes in personalized products finance For smaller farms and food producers, it uses financing to help its clients invest in key areas such as land acquisition, modern infrastructure, automation technology, storage facilities and day-to-day working capital.
The additional capital will increase the bank’s lending capacity while maintaining an adequate credit flow. regulator location.
Oxbury has seen steady growth since receiving its first Tier 2 support four years ago.
It has built up a significant deposit base from savers and now accounts for one in five new agricultural loans globally. England On a 12-month continuity basis.
Nationally, lenders approach 10 percent of all fresh agricultural loans.
British Business Bank’s Tier 2 investments are designed to act as a catalyst to enable partner banks to scale up and increase capital flows. finance to underserved small businesses.
Oxbury’s capital structure blends a shareholder base deep in the farming community with stable corporate financing, creating a solid platform for continued expansion.
This latest facility highlights the Bank’s broader strategy to offer a range of financing options to support finance. Englandvital food and agriculture sectors.
Richard BowenBritish Business Bank’s Managing Director of Direct Financial Institution Solutions welcomed this development.
He noted the strong partnership with Oxbury, involving multiple transactions since 2022, and emphasized the importance of various financial instruments for the agricultural economy.
Bowen expressed confidence in the extra financing It will allow Oxbury to help more food and agricultural businesses and support the growth of farmers who rely on its services.
Nick EvansCo-Founder and Managing Director of Oxbury Bank expressed his gratitude for the continued collaboration.
reminded: British Business Bank It provided early support shortly after Oxbury began making loans in 2022.
Evans attributed the bank‘s progress over the past five years towards disciplined lending practices, strong credit performance and a shareholder group largely comprised of farmers and landowners.
“The mix of farmer-led capital and government-backed support gives us a solid foundation for measured, sustainable growth,” he said.
