Businesses could apply for a share of a new £2m loan fund after Braintree Council agreed to put up the initial £500,000 investment.

The Business Growth Loan Fund was approved at a cabinet meeting this week.

The council will now seek further grants to boost the amount available to businesses in the district.

Successful applicants to the scheme will be able to access loans either through Funding Circle, a national, online investment market designed for small and medium businesses, or through a direct business loan.

The council will allocate £100,000 to Funding Circle and make £400,000 available in direct loans.

With the direct loans, 30% will be allocated for companies moving into the district, with the rest set aside to help existing businesses.