Over £4.1 Billion Has Been Distributed to UK Businesses Under the Coronavirus Business Interruption Loan Scheme

UK Finance has posted its weekly update as to the amount and number of loans distributed to SMEs impacted by the COVID-19 pandemic. According to the data, £4.157 billion has been approved under the Coronavirus Business Interruption Loan Scheme (CBILS) for 25,262 loans. 52,807 applications have been submitted as of April 29th. UK Finance updates the data each Thursday.

Over £1.33 billion of loans have been approved in the week from 21 April to 28 April 2020. The number of loans provided through the scheme has increased by 8,638 over the same period an increase of over 50 percent.

More applications are being processed with many being expected to be approved over the coming days.

The British Business Bank has created a page with the now three different government programs for emergency loans including CBILS.

The banking and finance sector is providing a range of support to SMEs to ensure they can receive the help most appropriate to their needs, including capital repayment holidays, overdrafts, working capital extensions, and asset-based finance.

Following reforms to the CBIL scheme introduced this week by the Treasury and British Business Bank, supported by regulators, the largest lenders have announced they will not require forward-looking financial information and will only ask businesses for information and data they might reasonably be able to provide at speed. This should streamline the application process and help lenders provide financing to businesses who need it as quickly as possible.

The British Business Bank approved four more lenders for accreditation under the CBIL scheme this week, bringing the total number of accredited lenders to 52, including several Fintechs. This means businesses can now access financial support under CBILS from a wide variety of firms.

The industry continues to work closely with the UK government and regulators to deliver the new “Bounce Back Loans” scheme which will make it quicker and easier for smaller businesses to apply for and access the finance they need.

Bounce Back Loans were announced earlier this week targeting very small firms with loans from £2000 to £50,000.

Stephen Jones, Chief Executive of UK Finance, issued the following statement on progress regarding the support provided to businesses:

“The banking and finance sector recognises the role we must play in getting the country through these tough times, and staff are working incredibly hard to get money to those viable businesses that need it. More than £4 billion has been delivered to over 25,000 businesses so far through the CBIL scheme, as part of a broad package of support for SMEs including capital repayment holidays, extended overdrafts and asset-based finance. The changes to the scheme announced by the Chancellor this week will enable lenders to streamline their application processes and help even more businesses access the support they need. This extensive support will be complemented by the new Bounce Back Loans scheme targeted at smaller businesses, which lenders are now working at pace to get up and running from Monday.”

Final-CBILS-Data-Table-30-April-2020

Sponsored Links by DQ Promote


Send this to a friend