Insider Media Limited

Nearly half (44 per cent) of businesses in the Midlands believe that banks have been “broadly supportive” in recent months. According to a survey by insolvency trade body R3, just 17 per cent of business owners said they disagreed “strongly” with this statement.

R3 Midlands chairman Matthew Hammond, a partner at PwC in the Midlands, said: "It is interesting that, despite the negative tone of some of the public debate around banks, relatively few businesses actually agree that they are non-supportive.

“There has been a significant difference in the approach of the banks during this recession, compared to previous economic downturns. In the 1990s, for example, banks swiftly removed facilities. This time around they have been working with businesses, granting holidays on loan payments and extending loan periods."

The survey also suggests that more than a third (34 per cent) of business owners believe that HMRC has been broadly supportive in recent months.

Hammond said: "Creditor behaviour has a significant impact on business survival and insolvency trends and it has certainly played a key role in keeping current corporate insolvency numbers lower than expected.

“The supportive approach has been helped by historically low interest rates keeping the cost of servicing debts relatively low, and HMRC's tax deferral schemes have allowed businesses breathing space to pay their taxes.”