IT Distance Learning News

IT firms gain from government investment

Those enrolled on an IT training course may be interested to hear two technology businesses have been the first to benefit from a new government-backed fund.

Nottingham businesses KeTech and Vamosa are to receive a cash injection totalling £3 million.

Announcing the investment, business secretary Lord Peter Mandelson said: “Ambitious and innovative businesses like these are the lifeblood of the economy but tough credit conditions can make it difficult for them to invest in their future.

"The government is committed to ensuring that viable companies have the finance they need to grow".

The £75 million Capital for Enterprise Fund was created to help viable small and medium-sized businesses with genuine growth potential that would otherwise be unable to secure investment.

It combines £50 million of public money and £25 million from banks and will be overseen by professional fund managers.

John Kearney, chief executive of KeTech, which will secure £2 million, said: "Since the current economic crisis began, the lack of available credit, even to viable businesses such as KeTech, has significantly impaired our ability to keep growing."

Written by Eve Critchley