Lenders have provided £ 13 billion through the Coronavirus Business Interruption Loan (CBILS) program to businesses affected by Covid-19, according to Treasury figures.
58,600 small and medium-sized enterprises (SMEs) have benefited from CBILS while 480 large enterprises have been supported through the Business Interruption Loan Program (CLBILS) against the coronavirus.
Meanwhile, over 1.13 million small and micro businesses have been supported through the 100% government-backed rebound loan program, which provides loans of up to £ 50,000.
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Since the program began three months ago, lenders have approved an average of 87,000 new rebound loans per week.
In total, lenders accredited by the British Business Bank – which includes four peer-to-peer lending platforms – have supported just under 1.2 million businesses through the government’s emergency lending programs.
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“The banking and financial sector remains committed to supporting businesses across the country through the challenges they face as a result of the coronavirus crisis,” said Stephen Pegge, managing director of commercial finance at UK Finance.
“Over the past three months, 26 lenders have supported the rebound loan program by lending to more than 1.13 million small and micro businesses, highlighting the importance of the program to the small business community in these hard times.
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“Bounce loans are just one aspect of the sector’s program to support the UK economy, alongside other measures including capital repayment holidays, extended overdrafts and bill financing facilities.
“This support is designed to ensure that businesses are able to navigate the months ahead, but a variety of funding sources will be needed to help them thrive in the future.
“It remains important to remember that any loan granted under government-backed programs is a debt, not a grant, and companies should therefore carefully consider their repayment capacity before applying.”
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