Time May be up for Time to Pay Scheme, YouGov / Centric Commercial Finance Survey Reveals

LONDON, May 27, 2010 - The Time to Pay scheme has already allowed businesses to defer over GBP5
billion of tax payments to HM Revenue and Customs (HMRC). However, 30% of
senior decision makers in SME businesses now expect that following the recent
change in government, HMRC is most likely to stop the Time to Pay Scheme
altogether, removing a major business lifeline.

This is the key finding from a YouGov omnibus survey of senior decision
makers in SMEs conducted between 17th - 20th May 2010. The research was
commissioned by Centric Commercial Finance, leading UK asset based lender and
invoice discounting specialist.

In addition, 31% of SMEs felt that HMRC might keep the Time to Pay scheme
but not allow any further businesses to join. Only 18% believed that the
scheme would be extended to new businesses.

The survey findings come within the same month that HMRC has been forced
to apologise to business owners after incorrectly issuing demands for
immediate repayment of taxes that had been deferred under the Time to Pay
Scheme.

John Onslow, Chief Executive of Centric Commercial Finance, comments:
"The prevailing views of senior executives of SMEs reflect the concern that
the Revenue has become a secondary banker to many businesses. It is no secret
that the remit of the new coalition government is to deal with the deficit.
However, a withdrawal of the scheme would need to be phased very carefully to
avoid an insolvency bloodbath. With an estimated 800,000 people working in
companies that are being propped up by overdue tax, the requirement for
alternative forms of finance such as invoice discounting and asset based
lending will be significant."

YouGov is an international, full-service research company primarily using
online panels to provide quantitative and qualitative research across a range
of specialties, including consumer markets, financial services, public
sector, technology and telecoms and media. The company operates a panel of
about 280,000 UK members, representing all ages, socio-economic groups and
other demographic types.

All figures, unless otherwise stated, are from YouGov Plc. Total sample
size was 532 senior decision makers in SMEs. Fieldwork was undertaken between
17th - 20th May 2010. The survey was carried out online.

Michael Symes, Strand Financial Limited, Adam House, 7-10 Adam Street, Strand, London WC2N 6AA, t +44(0)20-7520-9216, m +44(0)7736-008270