The research, which polled 300 SME firms throughout the country, also found that just over a third (35 per cent) of SMEs are aware of government-backed schemes but are yet to apply for any. 

Only 8 per cent of businesses reported that they were planning to apply for a finance scheme or grant in the coming 12 months.

Aldermore’s results mirror those previously obtained by credit experts Experian, which also found that SMEs had a poor level of awareness of government grants and other sources of alternative funding, with just 6 per cent saying that they would ask a broker for information.

Since being established in 2009, Aldermore has lent more than £1 billion to 12,000 SME customers throughout the UK, increasing the bank’s client base by 52 per cent in the past year. 

Speaking about the findings George Ashworth, Managing Director of Aldermore Asset Finance, said: “There is clearly a big job to be done in helping ‘time poor’ business owners find out more about government backed schemes designed to help them grow their businesses. 

“38 per cent of respondents told us they were unaware of how to find out about grants and schemes and a further 55 per cent said they were cynical about them, believing them to be government PR exercises or schemes designed to favour big businesses.”

George added: “Our research confirms that two-thirds of business-owners turn to the internet as their primary source of information. There is plenty of scope for simplifying and clarifying information about government backed schemes and making this information available online to business owners.”