HM Treasury has published an update on the various COVID-19 support schemes for UK businesses. Published today, UK lenders have now approved over £31.3 billion in loans for more than 745,000 businesses. The three programs include; The Bounce Back Loan Scheme (BBLS), the Coronavirus Business Interruption Loan Scheme (CBILS) and the Coronavirus Large Business Interruption Loan Scheme (CLBILS)
In comparison, an average of 275,000 loans and overdrafts were provided in total each year by the ten largest banking groups to UK SMEs over the past five years, reports UK Finance.
As of May 31st, lenders that include old finance and Fintechs have provided £21.3 billion through the BBLS, an increase of £2.8 billion over the past week with over 91,000 applications approved in the past week; £8.9 billion in support through the CBILS to almost 46,000 businesses.
More support has also been made available for larger businesses through the CLBILS. The number of businesses that have received financial support increased by 191, totaling just over £1.1 billion.
Stephen Jones, Chief Executive of UK Finance, said the banking and finance sector continues to help UK businesses during difficult times:
“The amount of support available to firms affected by the Covid-19 crisis is unparalleled. Over £31 billion has been approved in government-backed lending schemes so far to almost 750,000 businesses, with a further £19 billion drawn under bank-arranged commercial paper facilities. But government-backed loans are not the only support the banking and finance sector has made available. Over the last few months, lenders have put in place a clear plan to support businesses in every region of the country, including through offering extended overdrafts, capital repayment holidays and asset-based finance to businesses that need support.”