COVID-19 Loan Schemes: Final Lending Figures Revealed

07 July 2021

Author: Rachel Lewis
Practice Area: Banking & Finance, COVID-19

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The British Business Bank has revealed the final lending figures for the two largest COVID-19 loan schemes, the Coronavirus Business Interruption Loan Scheme (CBILS) and the Bounce Back Loan Scheme (BBLS).

New data published this week shows that nearly 44,500 businesses across Northern Ireland received over £2bn in funding under the Government-backed schemes, which closed for new applicants at the end of March 2021.

In particular:

  • more than 42,000 facilities worth nearly £1.3bn have been provided under the BBLS, which offered six-year term loans up to a maximum amount of £50,000; and
  • more than 2,400 facilities worth nearly £0.8bn have been provided under the CBILS, which offered term loans, overdrafts, invoice finance and asset finance facilities of up to £5m.

These figures represent 3% of the UK total, which is broadly in line with the relative size of Northern Ireland’s business population (2%).

Throughout the UK, funding has been provided to businesses across all sectors, with the retail, construction and manufacturing sectors receiving the highest proportion of support (around 46% of the overall total).

However, as payments begin to fall due for those businesses that availed of the schemes this time last year, it is important to remember that any CBILS or BBLS lending is a debt not a grant and, as such will need to be repaid. In addition, although the lender is provided with a Government-backed guarantee against the outstanding balance of the finance, the borrower will remain 100% liable for the debt.

If you would like any further information or advice, please do not hesitate to get in touch with our Banking Team.

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