The London-based business challenger bank is increasing its maximum day one loan sizes and has extended its maximum loan terms to up to 30 years.
London-based business challenger bank Allica Bank is to expand its lending appetite and product flexibility for UK healthcare businesses.
In addition to increasing its maximum day one loan sizes to £15 million for established healthcare businesses, the bank has also extended its maximum loan terms to up to 30 years for experienced healthcare operators and up to 20 years for first-time operators.
To reflect the realities of healthcare transactions, including timing gaps around inspections and changes of ownership, the bank is also broadening its Care Quality Commission evidence requirements.
Together, these enhancements enable the bank to better support healthcare operators undertaking larger and more complex transactions, including expansion and longer-term projects.
In February, Allica also launched its business overdraft as provisions have fallen from £18 billion in 2000 to £2.7 billion in 2024, with overdrafts now accounting for just 5% of bank lending to businesses. Allica’s overdraft offers healthcare businesses limits of up to £2 million, making it suitable for substantial, multi-site and cashflow-intensive businesses that continue to rely on flexible, day-to-day funding.
“Healthcare operators form a vital part of the UK’s established business sector, underpinning both our economy and local communities. They must continue to be supported not just with flexible funding but with a relationship-led approach that recognises the complexity of their needs,” said Anthony Newman, senior specialist relationship manager for healthcare at the bank.
The British healthcare sector continues to demonstrate growth. As Healthcare Today reported in January, nearly three-quarters (74% ) of business leaders in the sector said that their sales pipelines and the overall demand for their products and services were stronger than average in the third quarter of last year.
