UK in £38bn coronavirus business loans

Trade body UK Finance said on Tuesday that banks and lenders have provided £38.2 billion to over 910,000 businesses through the government-backed schemes BBLS, CBILS and CLBILS.

In the past week alone, £3.3 billion has been approved to 83,000 businesses.

UK Finance is the collective voice for the UK banking and finance industry, representing more than 250 firms.

“Figures published by HM Treasury today reveal that lenders have provided £38.2 billion through the three major government-backed lending programmes,” said UK Finance.

“£3.3 billion has been approved to 83,000 businesses in the past week, with more applications expected to be approved in the coming days as the industry continues to help the UK get through these tough times.”

UK Finance is the collective voice for the UK banking and finance industry, representing more than 250 firms.

The figures come as recent research for UK Finance by BVA BDRC revealed that almost 90% of SMEs have had their applications for a Bounce Bank Loan (BBL) or Coronavirus Business Interruption Loan (CBILS) facility approved where a final decision has been made.

“The industry has provided loans to over 860,000 businesses through the BBL scheme since the support was launched six weeks ago – an average of more than 140,000 approvals each week,” said UK Finance.

“These businesses have been approved for over £26.3 billion in total, including £2.6 billion in the last week.

“Lenders have approved an additional £550 million through CBILS in the week since data was last published, reaching 1,600 businesses.

“In total, £10.1 billion has been lent through the scheme to 49,000 firms across the UK.

“For larger businesses, £1.8 billion has been approved via the Coronavirus Large Business Interruption Loan Scheme (CLBILS) to 279 firms, including 35 new approvals in the past seven days.”

UK Finance CEO Stephen Jones said: “Businesses of all sizes are facing unprecedented challenges in the face of the pandemic, but the banking and finance industry has a clear plan to get them through.

“Lenders have provided over 910,000 businesses with £38 billion through the government-backed lending schemes to date, with tens of thousands of approvals every day, ensuring financial support reaches those firms who need it most.

“It’s 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 applying.”

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Mark McSherry
Dalriada Media LLC sites are edited by veteran news journalist Mark McSherry, a former staff editor and reporter with Reuters, Bloomberg and major newspapers including the South China Morning Post, London's Sunday Times and The Scotsman. McSherry's journalism has also appeared in The Washington Post, The Guardian, The Independent, The New York Times, London's Evening Standard and Forbes. McSherry is also a professor of journalism and communication arts in universities and colleges in New York City. Scottish-born McSherry has an MBA from the University of Edinburgh and a Certificate in Global Affairs from New York University.