Coronavirus Business Interruption Loan Scheme

(asked on 17th June 2020) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, whether lenders accredited under the Coronavirus Business Interruption Loan scheme are offering interest rates of 10 per cent or more.


Answered by
Paul Scully Portrait
Paul Scully
This question was answered on 22nd June 2020

The Coronavirus Business Interruption Loan Scheme (CBILS) is being delivered by a network of more than 90 accredited lenders operating across the market. Individual lending decisions are at the discretion of these lenders.

The Government pays the interest and any lender-levied fees in the first 12 months of any CBILS facility. Interest rates after 12 months will vary between lenders and will depend on the specific lending proposal. The Government also guarantees 80% of a CBILS facility and lenders must pass the economic benefit of the existence of this guarantee to the borrower through lower pricing than it may otherwise have had.

For further information about interest rates after the initial 12 month period, businesses should speak to their lender on what interest rates they will charge after this time.

Reticulating Splines