Coronavirus (COVID-19)—UK and EU government support for businesses

The following Financial Services practice note provides comprehensive and up to date legal information covering:

  • Coronavirus (COVID-19)—UK and EU government support for businesses
  • Coronavirus Business Interruption Loan Scheme (CBILS)
  • Coronavirus Large Business Interruption Loan Scheme (CLBILS)
  • Bounce Back Loan Scheme (BBLS)
  • Covid Corporate Financing Facility (CCFF)
  • PRA—regulatory treatment of CBILS and CLBILS
  • LSB guidance
  • Lending to SMEs—FCA expectations
  • Financial Ombudsman Service
  • Managing financial crime
  • More...

Coronavirus (COVID-19)—UK and EU government support for businesses

The UK government has introduced a number of schemes to provide support to small and medium-sized enterprises (SMEs) and other businesses during the coronavirus (COVID-19) crisis. These include the following:

  1. the Coronavirus Business Interruption Loan Scheme (CBILS), which provides financial support to smaller businesses affected by coronavirus

  2. the Coronavirus Large Business Interruption Loan Scheme (CLBILS), which provides financial support to medium-sized and larger businesses affected by coronavirus

  3. the Bounce Back Loan Scheme (BBLS), which enables smaller businesses to access finance more quickly during the coronavirus outbreak

The loan schemes are managed by the British Business Bank through accredited lenders. All three schemes are scheduled to end on 31 January 2021. This restriction does not apply to other government schemes, such as the Coronavirus Job Retention Scheme.

The UK government and the Bank of England have also introduced a Covid Corporate Financing Facility (CCFF), which provides funding to larger businesses by purchasing commercial paper of up to one-year maturity.

Companies and LLPs, and other entities in their groups, can only access one of the UK support schemes.

In the EU, the European Commission and the European Investment Fund (EIF) have launched a number of specific coronavirus support measures to support businesses through the crisis.

This Practice Note summarises the schemes that have been introduced by the UK government and at EU level to

Related documents:

Popular documents