United Trust Bank
British Business Bank programme: ENABLE Guarantees
United Trust Bank (UTB) is a specialist bank providing a wide range of secured funding facilities for individuals and businesses, and deposit accounts for individuals, businesses and charities.
The bank has supported SME developers across a wide variety of projects for several decades, and has dedicated divisions providing asset finance, mortgages, bridging finance, development finance, professional loans and structured finance.
In October 2017, UTB secured an ENABLE Guarantee via the British Business Bank. The Guarantee will allow UTB to increase significantly the amount of development finance it provides to UK SME housebuilders. The transaction is expected to enable UTB and the British Business Bank to support the building of new housing with a value of over £500m over the lifetime of the guarantee.
This is the first time the government-owned British Business Bank has used the ENABLE Guarantee specifically for the housebuilding sector.
Graham Davin, Chief Executive Officer of United Trust Bank:
“We are now able to promote greater access to funding for SME home builders. Property development funding is a complex area where specialist banks can make a large difference, but the capital requirements are onerous, and mitigate against specialists allocating capital to the sector.
“The culmination of our joint efforts to adapt the BBB’s existing guarantee to make it suitable for property development loans is a meaningful improvement to the capital efficiency of the bank for these loans. This allows us to support more house building projects across the country. UTB is breaking new ground with the ENABLE Guarantee product and will continue its commitment to the SME home building sector with innovative financing and through the cycle funding.
“This transaction is also a great example of the value of co-operative state and private sector engagement.”
In June 2016, UTB was named ‘Specialist Bank of the Year’ at the ‘2016 Bridging and Commercial Awards’. In April 2016 UTB was placed 25th in the annual Sunday Times BDO Profit Track 100 league table which ranks Britain’s fastest growing private companies.
United Trust Bank was incorporated in 1955. It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. UTB is covered by the Financial Services Compensation Scheme and the Financial Ombudsman Service. The Bank is a member of UK Finance, a Patron of the National Association of Commercial Finance Brokers (NACFB), an Associate of the Association of Bridging Professionals (AOBP), a Member of the Finance & Leasing Association (FLA) and a Member of the Association of Short Term Lenders (ASTL).