Comhairle nan Eilean Siar PRESS RELEASE 22 May 2001 For Use: Immediately

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Success Of Business/Fisheries Loan Scheme

In a major vote of confidence in the commercial future of the Western Isles, the Royal Bank of Scotland - the biggest bank in the UK and the second largest in Europe - today joined forces with Comhairle nan Eilean Siar and Western Isles Enterprise to launch the extended Business and Fisheries Loan Schemes.

Funding for the Fisheries Loan Scheme and the Business Loan Scheme has been increased to £1m each, up from £800,000 and £570,000 respectively.

This has been achieved by the Royal Bank of Scotland increasing the aggregate amounts available under each scheme and the Comhairle boosting its guarantees to £700,000 for the Business Loan Scheme and £500,000 for the Fisheries Loan Scheme.

Speaking at the launch today, the Comhairle's Vice-Chairman of Development Services, Archie Campbell, said:

"This event marks a significant milestone in the development of the partnership schemes with the creation of a combined loan fund of £2m. This allows sufficient scope for the expansion of both schemes over the next 12 months. It is vital for the long term well-being of our islands to create and economic climate which fosters entrepreneurship, assists growth, promotes inward investment and encourages innovation. Our people have shown themselves in the past to be resilient and to have a spirit of enterprise. We must have measures in place to enable that spirit to be nurtured to encourage the creation of ideas which can in turn lead to new business development and growth. Our people are the life-blood of the economy and we must continue to build on the success achieved so far by working together in meaningful partnerships to deliver solutions for a prosperous, sustainable economic future."

Marion Gray, Deputy Head of Business Banking UK for the Royal Bank, highlighted some of the successes of the schemes to date:

"£40m applications approved, over £750k in loans to businesses and 140 jobs created or retained."

Ends

Issued by Nigel Scott
Communications Officer