State fund invests in small company

The government's £75m Capital for Enterprise (CFE) scheme has announced its first investment in a UK firm, £2m into software company KeTech.

The CFE scheme, which was announced in January, consists of £50m of state money and £25m provided by retail banks. It was set up to provide capital to viable businesses struggling in the recession.

"Ambitious and innovative businesses like this [KeTech] are the lifeblood of the economy but tough economic conditions can make it difficult for them to invest in their future," said Lord Mandelson.

For more information about the CFE click here