Although much of the COVID-19 financial support has been withdrawn, the Government still wants businesses to access funding to aid their recovery.
That is why the Chancellor, Rishi Sunak, has extended the Recovery Loan Scheme until 30 June 2022 – instead of it ending on 31 December this year.
Intended to bridge the gap between the previous Coronavirus loans and regular credit conditions, the Recovery Loan could be worth up to £10 million per business, or up to £30 million across a business group.
However, as part of the extension to this scheme, certain criteria will change from 1 January 2022, including:
- The scheme will only remain open to small and medium-sized enterprises
- The maximum amount of finance available will decrease to £2 million, per business
- The Government guarantee offered to lenders will fall from 80 per cent to 70 per cent.
To apply for the Recovery Loan Scheme, businesses need to check the list of accredited lenders on the British Business Bank’s website here.
Not sure if you are eligible or need help making an application? Please get in touch with our team today.