Commons Sense

House of Commons · Written Ministerial Statement

Departmental Contingent Liability Notification (Coronavirus Business Interruption Loan Scheme)

24 March 2020 · Department for Business, Energy and Industrial Strategy

Proposed by Alok Sharma Con Reading West

Business & Trade

Summarised by AI from the official record, so it can contain mistakes.

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At a glance

Key points

  • The Coronavirus Business Interruption Loan Scheme is designed to support small and medium-sized enterprises affected by the coronavirus outbreak.
  • The scheme offers loans of up to 5 million without any limit on the number or total value of loans issued.
  • The British Business Bank will manage the scheme through its delivery partners for an initial period of six months.

Issue summary

The statement discusses details of the Coronavirus Business Interruption Loan Scheme announced by the Chancellor to support small and medium-sized businesses affected by the coronavirus outbreak.

Action requested

The scheme, facilitated by the British Business Bank through its delivery partners, will offer loans up to £5 million without limit on number or aggregate value. It is based on the existing Enterprise Finance Guarantee scheme and has an initial period of six months with potential extension.

Key facts

  • The Coronavirus Business Interruption Loan Scheme was launched on 23 March.
  • Loans can be up to £5 million for businesses with a turnover up to £45 million affected by coronavirus.
  • No limit on the number or aggregate value of loans under the scheme.
  • Initial period of six months, extendable as required.
  • Government will lay a Departmental Minute describing the contingent liability.
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