Loans boost for independent retailers
More coronavirus support loans are to be made available to independent retailers following a change to state aid rules, it was announced yesterday (July 30).
Changes to the rules mean that more small businesses can now benefit from loans of up to £5 million under the Coronavirus Business Interruption Loan Scheme (CBILS).
Previously businesses which were classed as ‘undertakings in difficulty’ were unable to access CBILS because of EU rules. Now, businesses in this category and which have fewer than 50 employees and a turnover of less than £9 million can apply to CBILS.
John Glen, the Economic Secretary to the Treasury and the Small Business Minister, has written to accredited lenders setting out their expectation that these changes will be implemented to ensure more businesses are receiving support.
Undertakings in difficulty are usually businesses with high levels of debt and accumulated losses.
Small Business Minister, Paul Scully, said: “We have stood by business throughout this crisis, and this announcement will mean that even more small firms will be able to access much-needed financial support.
“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.”
Read the Government’s full statement on the changes
Find out more about the financial support on offer from the Government, visit our Coronavirus Hub
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