Oxbury Bank Secures £100m ENABLE Guarantee to Boost Agricultural Lending

Oxbury Bank, a leading FinTech firm specialising in supporting farmers, food production, and the rural economy, has secured a significant financial backing from the British Business Bank.

The British Business Bank has agreed to a £100m ENABLE Guarantee transaction with Oxbury. This substantial financial injection will provide protection to Oxbury’s existing portfolio of lending, facilitating an additional £45m in lending to small and medium-sized enterprises (SMEs) in the agricultural sector.

Launched in February 2021, Oxbury offers tailored lending and asset finance solutions to meet the specific needs of farm businesses. The Chester-based bank utilises its proprietary digital banking platform, OxburyEarth, and a team of relationship managers with deep agricultural expertise to support its clients.

The funding will be used to originate around £45m of additional lending to SME agricultural businesses, with the capital benefit of the guarantee being implemented from day one.

In less than three years, Oxbury has surpassed £750m in total committed and in-progress lending. Backed by institutional agriculture and AgTech investors, the bank aims to reach a £1bn balance sheet in 2024. It has also attracted £1bn in savings deposits from farm businesses and consumers eager to support the rural economy. Moreover, Oxbury is committed to addressing Environmental, Social, and Corporate Governance (ESG) issues.

Oxbury Co-Founder and Chief Customer Officer Tim Coates expressed his delight at the new development: “We’re delighted to expand our relationship with the British Business Bank to support more lending to SMEs across the farming and food system. The ENABLE Guarantee will directly support a further £45m in lending to SMEs and is a further boost to the rapid progress Oxbury has made in becoming the bank of choice for farmers the length and breadth of Britain.”

Since its inception, Oxbury has raised over £120m in investment. This includes a £25m Tier 2 capital facility from British Business Investments in August 2022, supporting an additional £100m of lending to SME farming and food businesses.

This latest financial backing underscores Oxbury Bank’s commitment to the agricultural sector and further solidifies its position as the UK’s only specialist agricultural bank with a singular focus on the rural economy.

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