Government large business loan scheme to open on Monday

The government has announced that its large business interruption loan scheme will open on Monday.

The chancellor of the exchequer has announced details of the Coronavirus Large Business Interruption Loan Scheme (CLBILS), which will be available for businesses with a turnover of more than £45m.

The scheme can help provide facilities of up to £25m for businesses with turnover from £45m up to £250m, and facilities of up to £50m for those businesses with a turnover of more than £250m

It is designed to help businesses which are suffering disruption to their cashflow due to lost or deferred revenues during the COVID-19 outbreak.

Keith Morgan, chief executive of British Business Bank, commented: “The new Coronavirus Large Business Interruption Loan Scheme focuses on a relatively narrow area of the market, but one that is vitally important to the UK economy.

“More finance for viable mid-sized and larger firms will help them protect jobs and be in a better position to resume normal business when the current pandemic subsides.”

Stephen Jones, CEO of UK Finance, added: “Banks and finance providers are committed to helping British businesses through these difficult times.

“With over £1.1bn already lent to small and medium-sized firms through the CBIL scheme the launch of the new scheme for larger business will help to expand this support during these challenging economic conditions.

“Frontline staff across the industry are working tirelessly to deliver money to viable businesses as quickly as possible and providers will be working throughout the weekend to get this scheme up and running for Monday.”