Consulting Report
16 May 2024

Backing Britain’s Small Businesses: Funding Circle’s 2023 Impact

Small and medium enterprises (SMEs) continued to face challenges in 2023, characterised by tighter monetary policy placing pressure on their finances. Demand concerns were at the forefront for SMEs in 2023, whereas in previous years, supply chain issues and rising costs were their primary concerns.

Despite the challenging economic conditions, analysis by Oxford Economics finds that Funding Circle’s lending maintained a significant economic footprint. Lending to SMEs by Funding Circle suppor­­­ted a £6.9 billion contribution to UK GDP, sustained over 95,800 jobs, and was associated with activity stimulating £1.6 billion in tax revenues in 2023.

Further to this, there was evidence of green shoots emerging. More than three quarters (78%) of SMEs felt that the economic challenges they faced during the year increased the resilience of their business, and the share of SMEs that reported growth within their business in the first half of the year increased to the highest level seen since 2019.

To download the report, please complete the form below.

The experts behind the research

Our Economic Consulting team are world leaders in quantitative economic analysis, working with clients around the globe and across sectors to build models, forecast markets and evaluate interventions using state-of-the art techniques. Lead consultants on this project were:

Rosie Nolan

Senior Economist

Jai Patel

Assistant Economist

Stephen Foreman

Associate Director

Read the report

Complete the form below to download the report.

Recent related reports

The British Gas Energy Trust: Alleviating the impact of fuel poverty

Oxford Economics were commissioned by British Gas to undertake a social return on investment analysis of the British Gas Energy Trust, a charity which funds interventions to alleviate the detrimental impact of fuel poverty.

Find Out More
United States: Student loan payments are less concerning going forward

Despite last summer's US Supreme Court decision, the Biden administration has forgiven $153bn in student loan debt through piecemeal actions. This, combined with a new, more generous income-driven repayment plan and a yearlong grace period following the end of the pandemic-era pause on student loan payments, has reduced the amounts borrowers in the aggregate are paying back to the Department of Education.

Find Out More
Capital catalysts – Funding development when budgets are tight in Africa

In this presentation deck, we grappled with some of the Africa’s most pressing issues for 2024 and beyond. We explored Africa’s alternative funding strategies during challenging times, examined the continent’s growth hotspot, and unpacked South Africa’s political economy in the lead up to the general elections in 2024.

Find Out More
Eurozone: Why consumer spending is stuck in the doldrums

We expect weak consumer spending in the eurozone to persist throughout 2023 and into early 2024. Consumption has mainly been held back by high inflation and falling real incomes in the last 12 months, but we think tight monetary policy has now taken over as the main drag on household spending.

Find Out More