HM Treasury has posted its weekly update on its COVID-19 business support schemes and as one would expect the numbers continue to push higher. HM Treasury reports that more than one million businesses have been approved to receive £45 billion in financing support.
In brief, the various programs have provided the following:
- Coronavirus Business Interruption Loan Scheme (CBILS) – 53,536 companies for £11.49 billion
- Coronavirus Large Business Interruption Loan Scheme (CLBILS) – 394 companies for £2.58 billion
- Bounce Back Loan Scheme (BBLS) – 1,013,410 businesses for £30.93 billion
- Future Fund – 376 convertible loans approved for early-stage firms for £379.9 million
Both traditional financial services firms as well as Fintechs are the conduits for these various programs. The Future Fund is being widely utilized by Seedrs in a matching program.
Managing Director of Commercial Finance at UK Finance, Stephen Pegge, said the banking and finance industry is continuing to deliver on the plan to help businesses of all sizes get through these challenging times.
“Just over two months since it was launched, the Bounce Back Loan scheme has now backed over one million businesses with £30.9 billion worth of lending. Across all the Covid-19 schemes, £45 billion has now gone towards supporting businesses thanks to the tireless efforts of staff working on the ground. Today’s figures represent part of an unparalleled package of support from the industry which includes commercial lending, capital repayment holidays, extended overdrafts and asset-based finance.”
Pegge added that outside of the Future Fund, which is expected to convert into equity, all of the support schemes are debt and must be paid back in the future.
More information is available on the British Business Bank website.