1m SMEs receive bounce back loans amid pandemic
More than 1m small businesses have now borrowed a total of £31bn in bounce back loans from the government, according to the Treasury’s latest statistics.
Overall government loans to help businesses survive the coronavirus crisis hit £45.4bn as of 5 July, data released today showed.
Bounce back loans, which allow SMEs to borrow up to a quarter of their annual turnover, capped at £50,000, have proved by far the most popular form of loans, with 1,013,410 firms receiving them.
Banks have approved 82 per cent of bounce back loans applications, which are 100 per cent underwritten by the government.
But under half of SME applications for Coronavirus Business Interruption Loan Scheme (CBILS) have been approved by the UK’s banks.
Of 107,309 official applications processed by British lenders, just 49.8 per cent – or 53,536 – have been approved. CBILS lending now totals £11.49bn.
More to follow.