Over 1.3 million businesses supported through Covid-19 lending schemes

  • Figures published today by HM Treasury reveal that 1.33 million businesses in the UK are supported through government-backed coronavirus lending schemes.
  • The Coronavirus Business Interruption Loan Scheme (CBILS) has backed 66,600 businesses through financing packages worth £15.5 billion.
  • The Bounce Back Loan Scheme (BBLS) has supported over 1.26 million small and micro businesses that have been affected by the pandemic.
  • 566 larger businesses have been supported by the Coronavirus Large Business Interruption Loan Scheme (CLBILS).

Figures from HM Treasury published today reveal that UK lenders have supported over 1.3 million businesses across the country through government-backed coronavirus lending schemes.

Six months after the launch of the Coronavirus Business Interruption Loan Scheme, lenders have approved 66,600 facilities through the scheme for businesses affected by the Covid-19 pandemic.

The figures also show that Bounce Back Loans have continued to provide assistance to small enterprises, with more than 1.26 million business owners accessing loans through this scheme. In the past month 86,100 small and micro businesses have been approved for finance.

For larger businesses, £3.8 billion has been approved via the Coronavirus Large Business Interruption Loan Scheme to 566 firms.

Government-backed loans are just one part of the industry's plan to support businesses of all sizes and from all sectors. Lenders also have a wide range of additional measures available, including working capital extensions, overdraft extensions and capital repayment holidays, ensuring businesses can access the right support that suits their needs.

Stephen Pegge, Managing Director of Commercial Finance at UK Finance, said:

Businesses of all sizes continue to face significant challenges in the face of the pandemic, but the banking and finance industry has a clear plan to get them through these tough times.

?Lenders have approved finance for over 1.3 million businesses through government-backed loan schemes, with bank staff working incredibly hard to ensure companies can access the support they need.

?These schemes are just one part of a wide package of measures from the industry, including commercial lending, capital repayment holidays, extended overdrafts and invoice finance facilities.

?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 completing an application.

Case Studies

Please find a selection of case studies below which are available for interview. For further information, please contact the UK Finance press office on 020 7416 6750 or email press@ukfinance.org.uk

Coronavirus Business Interruption Loan Scheme (CBILS)

Band on the Wall - Manchester

Band on the Wall, an iconic music venue in Manchester, secured a £150,000 CBILS loan facility from Lloyds Bank, helping to safeguard jobs and allow the continuation of the venue's planned expansion project.

Colwick Hotel and Byron's Brasserie - Nottinghamshire

A Nottinghamshire hotel dating back to the 11th century, the Colwick Hall Hotel, secured CBILS financing from Barclays to allow it to bolster its working capital in the face of limited sources of revenue due to low numbers of tourists and visitors.

Belper Town Football Club - Derbyshire

Belper Town Football Club secured a £90,000 CBILS loan from HSBC UK to allow the club to install a 4G football pitch to improve its existing facilities and create new revenue streams.

Manor Crest Homes - Lincolnshire

Manor Crest Homes, a Lincolnshire-based housebuilder operating in the north-east of the country, secured CBILS support from Barclays, ensuring that the firm could return to work safely and continue to deliver on contracts.

Bounce Back Loan Scheme (BBLS)

Mi Casa Care - Mansfield

A Mansfield-based at-home care provider, operating across both the UK and Spain, received BBLS funding from Barclays to address cash flow challenges as it looked to find sustainable ways to fund additional PPE purchases. The BBLS funding will enable the care provider to ensure all staff are safely equipped for home visits.

Alkincoats - Lancashire

Alkincoats, an estate and wedding venue in the Forest of Bowland, secured £50,000 in financing from Barclays to help ensure that the business remained viable during lockdown, as the hospitality and events industry was forced to shut down.

Other Lending

Charles Tyrwhitt - London

Charles Tyrwhitt, a London-based luxury British shirtmaker, secured a £26m non-CBILS package from Lloyds Bank, comprising a refinancing of an existing facility and additional funding to support ongoing cash-flow needs.

Millbrook Dairy - Bideford

Milbrook Dairy, a butter and cheese exporter from Bideford, used a £1.6m commercial loan from Lloyds Bank to fund the development and marketing of its own-label product range.

SDC Group - Scotland

SDC Group, a Scottish group of dental practices operating across the country, used a £1.75m commercial loan from Lloyds Bank to fund the acquisition of two new practices to add to the group.

GV Health - Stevenage

To help meet urgent demand from the NHS, GV Health secured a £3.25m tailored funding package from HSBC UK. This allowed the global healthcare solutions providers to mobilise its factories and meet unprecedented demand for aprons and gowns from the NHS in Hertfordshire.

Notes to editor

<p>1. HM Treasury data on lending under the CBIL, BBL and CLBIL schemes is available <a href="https://www.gov.uk/government/collections/hm-treasury-coronavirus-covid…;. Figures for CBILS, CLBILS and BBLS show cumulative applications and approvals up to close of business on 20 September by accredited lenders, as reported to HM Treasury by close of business 21 September 2020. Previous UK Finance data publications on lending under the CBIL scheme were based on data submitted by UK Finance members only. For further details please contact the HMT press office on <a href="mailto:pressoffice@hmtreasury.gov.uk">pressoffice@hmtreasury.gov.uk</a>…;
<p> 2. The banking and finance industry has put in place a clear plan to help Britain through</p>
1.9 million <a href="https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2F74n5c… payment deferrals</a></li>
<a href="https://www.ukfinance.org.uk/press/press-releases/uk-finance-responds-f… million interest-free overdrafts</a> offered, 992,400 payment deferrals on credit cards and 686,500 payment deferrals on personal loans.</li>
£57.3 billion of lending to over 1.3 million businesses through government Covid-19 lending schemes</li>
Protecting customers from <a href="https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2F74n5c… and fraud</a></li>
Higher limit for<a href="https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2F74n5c…; contactless payments</a></li>
</ul><p> 3. The Bank of England has <a href="https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2F74n5c…; that the Covid Corporate Financing Facility (CCFF) has so far supported £17 billion of lending.</p>
<p> 4. More information on the CBIL scheme is available <a href="https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2F74n5c…;. More information on the BBL scheme is available <a href="https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2F74n5c…;. More information on the CLBIL scheme is available <a href="https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2F74n5c…;
<p> 5. The government?s <a href="https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2F74n5c… finder?</a> tool can help businesses and self-employed people across the UK to quickly and easily determine what financial support is available to them during the coronavirus pandemic<strong>.</strong></p>