Lloyds Bank launches finance options for venison industry
Lloyds Bank has launched a range of finance options for the growing UK venison industry, in order to help farmers overcome the financial barriers to establishing or growing herds.
According to the Venison Advisory Service (VAS), the UK venison market is predicted to grow by 10% in 2017. However, high operating costs mean that many farmers struggle to grow their herds or start new ones and are failing to keep up with demand.
Around one third of venison sold in the UK is imported although it’s reported that many processors and buyers would prefer to source and stock home produced venison.
The new range of financial support from Lloyds Bank is designed to help farmers manage their income cycles. The products will be available to new or established farmers who might be considering alternative markets to grow or improve profitability.
The finance includes medium to long term lending to help farmers buy livestock, housing and equipment; asset finance to help with purchasing and upgrading facilities; and working capital solutions – e.g. repayment holidays – to improve cash flow, meaning farmers do not need to pay for their livestock until they are producing income.
Venison finance is part of Lloyds’ commitment to meet the needs of specialist sectors. It follows the launch of Pullet Finance in 2016 – a range of financial support which helps to alleviate working capital pressure for UK egg producers and the poultry industry.
Andrew Naylor, UK head of agriculture at Lloyds Banking Group said: “The increase in demand for venison has created opportunities for UK farmers but starting or growing a farm is not always straightforward. Our venison finance products will alleviate working capital pressure and free up cash that would otherwise be tied up in new livestock.”
He continued: “Based on our deep understanding of farming and the nuances of the venison industry, we are meeting a specific need in a niche sector. We hope that this specialist finance will support and encourage farmers to expand in a growing market or start a new venture.”
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