Whiteaway Laidlaw Bank announced yesterday that they have rebranded as Shawbrook Bank. Bridging & Commercial spoke with Stephen Johnson, New Business Director of Shawbrook Bank, to get more of an insight into the decision and what happened in the build-up to such a step.

B&C: Why have you launched Shawbrook Bank?

SJ: “We launched Shawbrook Bank because we recognised there was an opportunity to create a new specialist bank that takes a sensible, straightforward approach to savings and lending. There are many credit-worthy SMEs who are not well served by the high street and we wanted to provide small businesses with more choice and flexibility in their borrowing.

“The launch is in direct response to a need in the market for more flexible lending. Our straightforward, common sense processes will make it easier for brokers to win business, and will help to meet the needs of many credit-worthy SMEs and personal customers looking for a bank that can act quickly and efficiently when a loan is needed.”

B&C: What happened in the run-up to the rebranding?

SJ: “Earlier this year Whiteaway Laidlaw Bank (WLB) acquired Link Loans and the lending platform of Commercial First, with substantial capital from RBS Equity Finance. From the outset we wanted to be a bank that focuses on giving personal and small business customers the products and service they really want. The name we gave to the new bank is Shawbrook.”

This new bank combines the savings and lending expertise of three financial businesses – WLB, Link Loans and the lending platform of Commercial First. Link Loans and the lending platform of Commercial First became part of WLB in August 2011 and March 2011 respectively.

B&C: Why 'Shawbrook' then?

SJ: “We chose the name ‘Shawbrook’ because it reflects what we stand for as a business. We are striving to offer straightforward, reliable service to brokers and customers. We are safe and stable and we value the best bits of traditional banking. We want to be known for a no-nonsense, common-sense bank that supports everyone it works with – brokers, individuals and businesses.”

B&C: What type of business model will you practice?

SJ: “Brokers and other intermediaries are key to our business and we will be doing all of our lending through this channel. We want to help grow this share of the commercial and personal lending market.

“Becoming Shawbrook Bank isn’t about throwing away any of our well respected heritage, it’s about using everything we have learnt to become even better. It represents the next step in our evolution. But one thing that will always be important to us is to have brokers and intermediaries at the heart of our business.

“We are committed to making it easier for credit-worthy SMEs to borrow, and has spent time listening to the needs of small business customers.

“Shawbrook operates a centralised business model, and distributes all its lending products through brokers rather than through branches. The bank makes pragmatic and sensible lending decision for each application, and is committed to processing commercial mortgage applications within 48 hours and secured loan applications within 2 hours of receiving them.”

B&C: What is Shawbrook’s vision for the future?

SJ: “Shawbrook is very focussed on lending to small businesses, and we have really listened to SMEs and what they want from a lender. Today we launched the results of a survey which highlights the issues SMEs are still facing when it comes to borrowing from the banks. The results are worrying – but perhaps unsurprising. The majority of SMEs in the UK think banks are failing to make it easy for them to borrow. Many find the loan application process obstructive and bureaucratic. Most feel banks are devoid of common sense when it comes to making decisions about loan applications.”

A recent survey of over 800 SMEs in the UK, commissioned by Shawbrook Bank, found that 90 per cent of SMEs believe the country’s banks fail to use common sense when they make decisions about business loan applications, almost half feel the banks are too bureaucratic when dealing with small businesses and only six per cent of SMEs feel confident that banks are clear and transparent in their dealings with small business customers.

SJ: “At Shawbrook we are determined to be different. Our business is lending, and in the next year we aim to lend £250 million to SMEs. Our processes are fast and flexible, and decisions are based on common sense. Brokers are central to Shawbrook’s business, and we think working with brokers allows us to be the efficient and agile bank that many SMEs are looking for.”  

Shawbrook Bank is a specialist savings and lending bank, which does all of its lending through brokers and intermediaries. They offer loans and commercial loans for business customers. Shawbrook distributes all of its lending products through brokers and for personal customers offer savings accounts, secured loans and home improvement loans.

For further information please visit www.shawbrook.co.uk

By Jason McGee-Abe