Home Coronavirus Updates UK Government pledges £330bn rescue plan for businesses

UK Government pledges £330bn rescue plan for businesses

by Saul Leese

Speaking live on the BBC just moments ago (17 March), the Chancellor Rishi Sunak has pledged a further £330bn to help businesses survive financial hardship during the outbreak.

“The government will stand behind businesses small and large. I can announce today an unprecedented package of government backed and guaranteed loans to support businesses to get through this. Today I’m making available an initial £330bn, equivalent to 15% of our GDP.

“That means any business has access to cash to pay their rent, their salaries, their suppliers or to purchase stock will be able to access a government backed loan or credit on attractive terms. And if demand is greater than the initial £330bn I’m making available today, I will go further and provide as much capacity as required.”

The support will come through two main schemes:

  • A New lending facility agreed with the Bank of England
  • Extending the new business interruption loan scheme for small businesses increasing borrowing potential from £1.2m to £5m

Both schemes will be up and running by the start of next week.

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