The Treasury has announced that applications for the Bounce Back Loan Scheme (BBLS), Coronavirus Business Interruption Loan Scheme and Coronavirus Large Business Interruption Loan Scheme will now be open until the end of January.
The extension, which carries support before the previous end point of 30th November, also applies to the Future Fund, an initiative aimed at UK start-ups. It was also confirmed that small businesses that already received funds through the BBLS programme which offers firms cheap loans worth up to £50,000 will also be able to top up existing loans if required. The changes were confirmed after the Treasury convened an emergency meeting with Britain’s largest banks including HSBC, Barclays, NatWest and Lloyds in order to review the terms of the government-backed loan programme.
Responding to the Treasury’s Stephen Pegge, Managing Director of Commercial Finance at UK Finance, said “The banking and finance industry is providing unprecedented support to help businesses throughout these tough times, with over 1.4 million firms receiving financing so far under the government-backed lending schemes.”
“The extension of the application deadline to 31st January 2021 will provide additional time to enable more businesses to access the finance they need, including those impacted by the latest lockdown restrictions.”
“In addition, firms that have not yet borrowed their maximum under the Bounce Back Loan scheme will be able to top up their loan should they need more finance to help them through the difficult weeks ahead.”
“We now look forward to working with the Treasury and British Business Bank to finalise the details of these changes over the coming week.”