A new emergency funding scheme that will aim to help larger businesses survive the coronavirus outbreak is set to launch on Monday.
The Coronavirus Large Business Interruption Loan Scheme will enable all viable businesses with a turnover of more than £45m to apply for government-backed support of up to £25m of finance.
Companies with a turnover of more than £250m will be able to apply for up to £50m in support.
The government will provide lenders with a guarantee of 80% on each loan.
Chancellor Rishi Sunak said: “I want to ensure that no viable business slips through our safety net of support as we help protect jobs and the economy. That is why we are expanding this generous scheme for larger firms.
“This is a national effort and we’ll continue to work with the financial services sector to ensure that our £330 billion of government support, through loans and guarantees, reaches as many businesses in need as possible.”
A list of accredited lenders who will offer this scheme will be published on the British Business Bank website.
Helen Dickinson, chief executive of the BRC, said: “We are pleased the government has listened and once again shown it will respond to the needs of the industry in this time of crisis. The expansion of CLBILS will support businesses and jobs by helping prevent retailers slipping through the gaps between the various loan schemes. It is essential that the scheme, along with other government interruption loans, are easy to apply for and fast to deliver much needed cash to businesses.”
Drapers’ coronavirus update
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