Recovery Loan Scheme extended to help struggling businesses
The UK Government has announced a two-year extension to the Recovery Loan Scheme to help small businesses struggling with inflationary pressures.
The Recovery Loan Scheme, originally launched in April 2021 to help businesses recovering from the pandemic, is aimed at supporting access to finance for UK businesses. The scheme gives lenders a government-backed guarantee against the outstanding balance of the facility.
The extension provides further support for businesses grappling with rising costs, adding to previously announced business support measures such as the increased Employment Allowance and 50 per cent business rates relief for high street businesses.
Erin Henwood, policy advisor at the Greater Birmingham Chambers of Commerce, said: “Firms across Greater Birmingham have been reporting experiencing eyewatering price increases across the board, with many worried about how they will fare over the coming months. Indeed, a record number shared their concerns about inflation and price rises in our Q2 Quarterly Business Report.
“It is thus highly encouraging to see that the Government remains focused on supporting businesses. I strongly urge businesses in need of this additional support to access the scheme as soon as applications open in August so that they can receive help as quickly as possible. ”
More information can be found on the British Business Bank 's website.