Businesses access £35 billion through COVID-19 support schemes

The Government has now delivered almost £35 billion in corporate finance to businesses affected by COVID-19, it has been revealed.

The figures, published by the British Business Bank (BBB), highlight the importance of the business support schemes three months after shops and workplaces were forced to close their doors.

According to the statistics, around 750,000 businesses across the UK have benefitted from almost £35 billion in loans to date.

This includes more than 700,000 Bounce Back Loans (BBL) worth £23.78 billion, more than 45,000 Coronavirus Business Interruption Loan Scheme (CBILS) loans worth over £9.6 billion, and £1.5 billion through the Coronavirus Large Business Interruption Loan Scheme (CLBILS).

The most recent figures also highlight the success of the newly announced Future Fund, which has received around 500 applications. Under this scheme, businesses who do not qualify for business support – because they are either pre-revenue or pre-profit – can access convertible Government loan notes “unlocked by private investment on a match funded basis”.

To qualify, your business must have previously raised at least £250,000 in equity investment from third parties in the last five years, and have half or more of their employees based in the UK or generate at least half of their revenue through UK sales.

Welcoming the scheme, Charlotte Crosswell, CEO of Innovate Finance, said: “The Future Fund is a welcome step to support our start-up and scale-up economy, and a much-needed intervention from government to back high-growth businesses.

“Many FinTech companies have been unable to access the other loan schemes available, so this will provide vital funds to firms in the sector.”

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