Two of the UK's biggest banks have made available £1 billion of loans for investment in the manufacturing sector.

 

Natwest and RBS are both launching the plans in anticipation of a growing demand for manufacturing products over the next year.

 

The banks say loans are available to businesses that wish to make an investment in new opportunities as the production industry continues a slow recovery from the economic downturn.

 

Peter Ibbetson, chairman of business banking at NatWest and RBS, is confident the manufacturing industry will continue to improve in 2010, but emphasised it will take time for the sector to return to full health.

 

He added: As we see many of our manufacturing customers turning their thoughts to investment in order to drive competitiveness, we want to send a clear message of support to them by creating a fund that is designed specifically to enable that investment.

 

According to research by the Charted Institute of Purchasing and Supply's, the UK manufacturing industry showed consolidated and reassuring growth last month.