Banking at the Heart of the Business Community
Small and medium-sized enterprises (SMEs) are the backbone of the UK economy and play an essential role in boosting economic growth, locally and nationally. Metro Bank’s prominent position across Britain’s high streets, and its focus on building lasting relationships in business, see it tapping into this market.
With more than 70 stores across England and Wales, Metro Bank has had a presence on Britain’s high streets since 2010, not only because of its bold and fresh identity, but because it pitches itself as a bank at the heart of local communities.
Whilst other competitors are transitioning their offering away from physical banking to a digital offering, Metro Bank’s management team view its store network and Relationship Managers as vanguards for the bank’s products and services.
“Our Relationship Managers across the country operate in the communities and sectors we serve,” says Mark Davies, Metro Bank’s Director of Regional Commercial Banking. “Since Q4 2023, we’ve grown our commercial and corporate banking teams with experienced banking professionals who specialise in various sectors. They work with intermediaries and brokers to offer SME clients tailored lending solutions appropriate to their business needs."
According to latest figures from the ONS, there were 5.5 million SMEs in the UK in 2023, representing over 99% of the business population. They accounted for 61% of UK employment and 7% of business turnover.*
“Metro Bank is committed to supporting local businesses as we continue to pivot towards commercial, corporate and SME lending,” says Mark. “Our focus is firmly on building lasting relationships with our business customers from the very first meeting.”
With more than 200,000 business accounts already on its books, and an injection of capital into the bank in 2023, there is an extra vibrancy about the business as it focusses on business banking. In 2024, the bank increased its commercial lending three-fold.
Relationship banking strategy
It’s all about relationship banking. Relationship Managers have the essential local knowledge and experience in the environment that these companies operate, be it a commercial city environment in Manchester, Birmingham or London, or serving the manufacturing industry in the Midlands. They’ve forged essential contacts within the legal and commercial brokerage sectors.
UK-wide operations
Metro Bank lent £9.9m to Castlebridge to assist with the development of the IHG branded Hotel Indigo in Coventry. Andy Stone, Corporate Banking Director: “When working through this hotel development, there were many moving parts that needed to be coordinated between Metro Bank, Castlebridge and all the external advisers. We visited the site multiple times before the funding agreement was signed, and our Credit colleagues were happy to meet with the Castlebridge team on site to understand the complexities of the transaction.”
Recently the bank successfully completed a loan for a new to bank client in the North West of England. The client, a large dental group operator looking for finance to help support a planned reorganisation of the group, was introduced to Metro Bank via the AMS Group. Business Development Director at Metro Bank Danny Pennington, worked closely with Ali Raza, Debt Advisory Director at AMS Group to structure the deal and engage with the client to put Metro Bank at the fore as the recommended lender. The result was a secured £7m term loan including a 12-month interest only period to help with the group’s cashflow during the reorganisation.
Visit: www.metrobankonline.co.uk/business
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*Business population estimates for the UK and regions 2023: statistical release - GOV.UK
