UK banking and finance industry backs over 1.6 million businesses through Covid-19 lending schemes

  • HM Treasury figures show that the UK banking and finance industry has provided more than £75 billion in support to over 1.6 million businesses through government-backed coronavirus lending schemes. 
  • More than 1.5 million small businesses have accessed the Bounce Back Loan Scheme (BBLS) over the past year. The Coronavirus Business Interruption Loan Scheme (CBILS) has provided £23.3 billion in financial support to more than 98,000 businesses. 
  • £5.3 billion in lending has been provided to 716 businesses through the Coronavirus Large Business Interruption Loan Scheme (CLBILS). 

The banking and finance industry has provided more than £75 billion in finance to 1.63 million UK businesses through government-backed coronavirus lending schemes according to newly published HM Treasury data. 
Lenders have provided finance to over 30,600 businesses through Bounce Back Loans over the past month, bringing the total number of small businesses accessing the scheme to 1.53 million since it launched in May last year. More than £46.5 billion has now been lent through this scheme. This total includes businesses which have opted to 'top-up? their Bounce Back Loans to the full £50,000, or a maximum of 25 per cent of their turnover if lower, available through the scheme. 

The CBIL scheme has provided £23.3 billion in finance to 98,000 enterprises, whilst 716 larger firms have used the Coronavirus Large Business Interruption Loan Scheme to access £5.3 billion in support. 
Since the schemes were first put in place, the UK banking and finance industry has  supported 27 per cent of British businesses through the initiatives. The vast majority of firms in the UK have an existing relationship with at least one of the 29 lenders accredited to the BBL scheme, or the 118 lenders now accredited to the CBIL scheme. 
Government-backed loans are just one part of the industry's plan to support businesses across the UK. Lenders continue to provide a range of additional measures, including working capital extensions, overdraft extensions and capital repayment holidays.  
The industry is committed to supporting UK businesses as the existing loan schemes are wound down. The new government-backed Recovery Loan Scheme will be in place from 6 April and lenders will publish additional information on the administration of this scheme in due course.
Stephen Pegge, Managing Director of Commercial Finance at UK Finance, said:  

The banking and finance industry has provided an unprecedented level of support to UK businesses throughout the pandemic, in close collaboration with the government and the British Business Bank, and will continue to do so through new measures such as the government-backed Recovery Loan Scheme.

?Many businesses, and some specific sectors, may face extended disruption and financial difficulty in 2021. With widespread restructuring and recovery situations expected, the banking and finance sector is focused on supporting the turnaround of companies where possible, while ensuring that businesses which are no longer viable are treated fairly.

Contact Information

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Notes to editor

<p>UK Finance is the collective voice for the banking and finance industry. Representing more than 250 firms across the industry, we act to enhance competitiveness, support customers and facilitate innovation. </p>
<p>1. HM Treasury data on lending under the CBIL, BBL and CLBIL schemes is available <a href="…;. </p>
<p>2. Regional analysis of coronavirus loan schemes by the British Business Bank is available <a href="…;
<p>3. A list of lenders accredited to the BBL scheme can be found <a href="…;. A list of lenders accredited to the CBIL scheme can be found <a href="…;
<p>4. The banking and finance industry has put in place a clear plan to help Britain through: </p>
<ul><li>2.75 million <a href="… payment deferrals</a> </li>
<li><a href="… million interest-free overdrafts</a> offered, 1.18 million payment deferrals on credit cards and over 828,000  payment deferrals on personal loans </li>
<li>Over £75 billion of lending to more than 1.6 million businesses through government Covid-19 lending schemes </li>
<li>Protecting customers from <a href="… and fraud</a> </li>
<li>Higher limit for <a href="… payments</a></li>
</ul><p>5. The Bank of England has <a href="…; that the Covid Corporate Financing Facility (CCFF) has so far supported £16 billion of lending. </p>
<p>6. More information on the CBIL scheme is available <a href="…;. More information on the BBL scheme is available <a href="…;. More information on the CLBIL scheme is available <a href="…;.  </p>
<p>7. The government?s <a href="… 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>