Question to the Department for Business and Trade:

To ask the Secretary of State for Business and Trade, what assessment his Department has made of the effectiveness of the bounce back loan scheme implemented during the Covid-19 pandemic; and what assessment he has made of trends in the level of repayment.

The British Business Bank is undertaking a multi-year evaluation of the Covid-19 loan schemes, looking at whether the schemes met their objectives. The Year 2 evaluation report was published in November 2023 and shows that the schemes met their primary objectives of unlocking credit for businesses at scale and speed, reaching just over a quarter of small businesses in the UK. Evaluation evidence to date suggest that the schemes have had a positive impact on business outcomes like survival, turnover and employment.

Covid loan guarantee scheme performance data is published on a quarterly basis. As at 30 September 2024, within the Bounce Back Loan Scheme, £6.61 billion had been fully repaid by borrowers and £12.10 billion was being repaid on schedule.