Coronavirus (COVID-19)—Chancellor implements new measures to support businesses

Coronavirus (COVID-19)—Chancellor implements new measures to support businesses

The Chancellor of the Exchequer, Rishi Sunak MP, has announced that the government is taking further action to support businesses affected by the coronavirus (COVID-19) pandemic. The new measures include the extension of the current loan scheme for small businesses, a ban on lenders requesting personal guarantees on loans under £250,000, and the launch of a new scheme to bolster support for larger firms currently ineligible for loans.

The extension of the current loan scheme aims to maximise the support available by extending the Coronavirus Business Interruption Loan Scheme not only to small businesses unable to secure regular commercial financing, but also for those needing finance to keep operating during the crisis. Operational changes have also been put in place to accelerate lending approvals. The new Coronavirus Large Business Interruption Loan Scheme ensures a government guarantee of 80% to enable banks to provide loans of up to £25m to businesses with an annual turnover of between £45m and £500m.

Source: Chancellor strengthens support on offer for business as first government-backed loans reach firms in need

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