Peer2Peer Finance News
The UK's first peer-to-peer finance magazine for investors and the industry
  • Home
  • News
    • Personal Finance News
    • Industry News
    • SME News
    • Global News
  • Property
  • IFISA
    • IFISA Guide
  • Video
  • Open Banking
  • Cryptocurrency
  • Features
    • Joint Ventures and Promoted Content
  • Comment & Analysis
  • What is P2P?
  • Partners
  • Events
    • Past Events
  • P2P Power 50
    • Power 50 2020
    • Power 50 2019
    • Power 50 2018
    • Power 50 2017
  • Sign up to our e-newsletters
  • Magazine
  • Directory
  • Jobs
  • My Account
    • Manage Account
    • Change Password
    • Log In
    • Log Out
shutterstock_253880203
July 30 2020

CBILS terms expanded to offer relief to more SMEs

Kathryn Gaw Industry News, News, SME News, Top 3 Assetz Capital, CBILS, Funding Circle, John Glen, Paul Scully, Stephen Pegge, UK Finance

The conditions of the coronavirus business interruption loan scheme (CBILS) have been expanded to allow more small- and medium-sized enterprises (SMEs) to access government-backed funding.

From today (30 July), businesses which have been classed as having ‘undertakings in difficulty’ will be allowed to apply for CBILS loans of up to £5m. This includes businesses with fewer than 50 employees and less than £9m in annual revenue.

Previously, these businesses were unable to access the scheme due to restrictive rules around state aid, which were set out by the European Commission before the coronavirus pandemic.

Read more: Institutional funding drought hits CBILS participation

“Our loan schemes have been a key part in supporting businesses enabling them to bounce back as we kick start the economy,” said economic secretary to the Treasury, John Glen.

“I’m delighted that our work with the [European] Commission has paid off so we can further support the smallest businesses.”

The government has stated that it expects lenders to make changes in approvals processes, and it is hoped that these changes will particularly benefit smaller businesses.

“We have stood by business throughout this crisis, and today’s announcement will mean that even more small firms will be able to access much-needed financial support,” said the small business minister Paul Scully.

Read more: P2P lenders call for restructure of government emergency loan schemes

“Small businesses will play a vital role as we seek to recover our way of life and get the economy moving again, and it is essential we continue to support them through this difficult period.”

To date, approximately £12.6bn has been delivered to more than 57,000 businesses via CBILS providers. These providers include peer-to-peer lenders such as Funding Circle and Assetz Capital.

“This change will make a real difference for those smaller, viable businesses who had previously struggled to secure loans under the schemes because they were deemed to be ‘undertakings in difficulty’,” said Stephen Pegge, managing director of commercial finance at trade body UK Finance.

“Lenders will now be able to help more viable business secure the finance they need and will continue to engage with their commercial customers and assess any new lending applications against the revised rules.”

Read more: P2P lenders call for CBILS extension

P2P platforms welcome FCA guidance on vulnerable customers Growth Street reveals state of its loanbook as it prepares for wind-down

Related Posts

Open banking allows high street banks to share anonymised customer data with approved third parties

Industry News, News, Open Banking, Top 3

Lenders set out next steps for open banking

Woman hand MacBook Pro with social networking service Google

Industry News, News, Top 3

Google updates the FCA on its scam ad crackdown

KONSKIE, POLAND - August 18, 2019: FCA Financial Conduct Authority logo on mobile phone

Comment & Analysis, Features, Joint Ventures and Promoted Content, Top 3

Rules and retail investors

Popular posts:

  • The House Crowd goes into administration
  • Sunak to announce stringent CBILS successor scheme
  • FCA warns The House Crowd investors against using…
  • Octopus Choice has permanently closed
  • Metro Bank plans to offer RateSetter lending through…
  • RateSetter confident of growing Metro Bank’s…
Back To Top
  • Home
  • Contact
  • About
  • Team
  • Advertising
  • Subscribe
  • Privacy
  • T&Cs
  • Disclaimer

Follow Us on Social Media

© Peer2Peer Finance News 2020
• Additional design by