In Focus Commercial Credit
Making a real impact
Coronavirus lending schemes support over 1.5 million UK businesses
Stephen Pegge Managing director of commercial finance, UK Finance
Figures published last month by HM Treasury show that over 1.5 million firmss across the country are supported by the banking and finance industry with over £68bn in lending through government- backed coronavirus lending schemes. Over 34,500 small and micro businesses
have accessed a Bounce Back Loan over the past month, with more than 1.4 million enterprises receiving finance through the scheme since it launched in May. This total includes more than 62,000
firms which have opted to ‘top-up’ their Bounce Back Loans to the full £50,000, or a maximum of 25% of their turnover if lower, available through the scheme. Over 82,000 businesses have now secured
facilities through the CBIL scheme, whilst the Coronavirus Large Business Interruption Loan Scheme has allowed 675 larger firms to access almost £5bn worth of support. There are 28 lenders accredited to the
BBL scheme, with the vast majority of businesses having an existing relationship with one of these firms. 113 lenders are now accredited to the CBIL scheme. Government-backed loans are just one
part of the industry’s plan to support businesses across the UK. Lenders continue to provide a range of
additional measures, including working capital extensions, overdraft extensions and capital repayment holidays. The industry will continue to support
businesses next year as they adapt to changes following the end of the Brexit transition period, and economic uncertainty persists as a result of the pandemic.
January 2021
www.CCRMagazine.com 19 The UK’s banking and finance industry
continues to support businesses of all sizes across the country to help them through these challenging times. As this year draws to a close, over 1.5
million firms are supported by a government- guaranteed loan scheme with funds totaling over £68bn, demonstrating the unprecedented level of assistance provided to UK enterprises. Over the past nine months, bank staff have worked hard to process applications
to meet extremely high levels of demand, while ensuring that the necessary anti-fraud and money laundering checks are carried out on all applications. As the impact of the pandemic continues
to be felt by businesses across the country and particularly in areas facing greater restrictions, the chancellor’s announcement today that the application deadline for the schemes is being extended to the end of March 2021 will give more time for firms to access the finance they need. In addition, SMEs can also 'top-up' their
The industry will continue to support businesses next year as they adapt to changes following the end of the Brexit transition period, and economic uncertainty persists as a result of the pandemic
Bounce Back Loan to the maximum value of £50,000, or 25% of their turnover if lower and businesses are encouraged to contact their lender if they wish to access these additional funds from their existing loan. It is important to remember that any
lending provided under government-backed schemes is a debt not a grant, and so firms should carefully consider their ability to repay before applying. CCR
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52