Covid-19 loans

Government loan schemes deliver £79.3bn to millions of UK businesses

Businesses across the UK have been supported during the Covid-19 crisis with almost 1.7 million government-guaranteed loans worth £79.3bn through schemes delivered by the British Business Bank.

This includes 1,560,309 Bounce Back Loans worth £47.36bn, 109,877 loans worth £26.39bn through CBILS and 753 loans worth £5.56bn through CLBILS. 

New figures for the Bounce Back Loan Scheme top-ups revealed that 106,660 loans have been approved, worth £950m.

In terms of regional distribution of funds, the data shows that the proportion of overall loans in each of the nine English regions and three devolved nations matched closely with their respective share of the UK business population.

The North West showed the largest usage of CBILs and BBLS (11%) outside London and the South East (34%), ahead of the East of England (10%).

The data also provided analysis of loan uptake across sectors, with construction (17%) and wholesale and retail (15%) receiving the highest proportion of total loans.

For CBILS, the manufacturing sector accessed a significantly higher proportion of loans (14%) than its share of the business population (5%), followed by wholesale and retail (17% vs 9.2%).

For BBLS, the wholesale and retail sector secured a higher proportion of loans (15%) than its share of the business population (9%). 

The construction sector gained the largest chunk of BBLS loans overall (17%).

Catherine Lewis La Torre, CEO at the British Business Bank, said: “The Covid-19 loan schemes have been an important part of the government’s response to the pandemic, providing businesses with much needed breathing space and reducing cashflow concerns for many. 

“We’re pleased to see evidence that they’ve helped smaller businesses right across the UK and look forward to helping more businesses to prosper and grow as we look towards economic recovery.”

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