Friday, 6 February 2009

Green loans are worthless

Bournemouth entrepreneur Kresse Wesling claims EU plans to introduce low interest loans is not what is needed to help green businesses.

Miss Wesling, the Co-founder of Bournemouth based Eako accessories said: "Bank loans are only at one end of the spectrum and it does not make sense."

Earlier this week the EU announced it was backing plans for Union members to give state loans at lower rates to green businesses.

Miss Wesling added "you can get a low interest loan anyway, look at the Bank of England rate. Paying a lot less VAT, 5% or something, would be more interesting."

Eako, based in Bournemouth since August 2007, turns used fire hoses into luxury accessories and handbags.

Miss Wesling said the government needs to look at their own spending if they want to promote green businesses: "the primary thing is procurement, government should look at how they are spending. What they are buying isn't green."

Miss Wesling added "imagine if all the NHS hospitals were run on green energy."

The aim of the EU initiative is to support green businesses during the economic downturn.

A statement from Commissioner Neelie Kroes said: "The measure would ease the credit constraints on businesses affected by the current economic situation, provided that they invested in products that were more environmentally friendly."

The French government have already announced that they will take up the initiative.

Meanwhile the Bank of England announced yesterday that it would slash interest rates to 1% in an attempt to lift the British economy.

To purchase Eako products visit

To visit the EU website go to

For information relating to the Bank of England interest rates visit

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