Three banks have ‘unhealthy’ grip on SMEs

The Central Bank report found that three lenders accounted for 93% of all new lending to SMEs.

The concentration of lending is “unhealthy”, says business group Isme, as a Central Bank survey shows three banks effectively have a total grip over all new lending to SMEs in Ireland and that firms here continue to pay the highest rates in the eurozone.

“The SME lending environment remains highly concentrated with very little competition,” said Isme chief executive Neil McDonnell.