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Coronavirus Business Interruption Loan

This page will be regularly updated with more information on the full terms of the new Coronavirus Business Interruption Loan. Further information can also be found on the British Business Bank and Bank of England websites.

Gain the financial backing you need to help your business cope with the Covid-19 outbreak, through this Government-backed scheme.

Solutions for your business
 

This is a term loan product offered in conjunction with the UK Government. A Government guarantee is issued in favour of the lender, which allows us to consider lending to viable businesses with insufficient security available.

This scheme is designed to support UK based small and medium-sized businesses, with a turnover of up to £45 million, with a viable business proposition who are struggling with the challenges of the Covid-19 outbreak.

  • We provide facilities between £25,001 and £5 million (available in Sterling only)2
  • In order to support client cash flow issues, the arrangement fees and the first 12 months interest will be paid by the UK government as a “Business Interruption Payment”
  • As with any other loan facility you remain responsible for repayment of 100% of any facility supported by the CBIL scheme.
How can the coronavirus scheme support your business?
 
  • Enables your business to access finance where it may “be unable to meet a lender’s normal lending requirements for a fully secured commercial loan or other facility, but would be considered viable in the longer-term”
  • Provides funding for a range of business needs (subject to eligibility and certain restrictions)
  • Terms up to 6 years are available (subject to credit approval)
  • Offers flexible repayment structures and the option to take capital repayment holidays so you can match payments to your income (subject to prior approval)
  • Offers a choice of fixed and floating3 interest rates to help you manage your cashflow.

Important information

  • You gain access to lending via this scheme but remain responsible for repayment of 100% of the outstanding facility at all times and not just the amount of the facility outside the coverage of the Government guarantee
  • Under the Business Interruption Payment rules, the maximum assistance that can be provided is €800,000, with restrictions in certain sectors4
  • Smaller businesses from all sectors can apply for the full amount of the facility. The following trades and organisations are not eligible to apply: Banks, Building Societies, Insurers and Reinsurers (but not insurance brokers); The public sector including state funded primary and secondary schools; Employer, professional, religious or political membership organisation or trade unions
  • The product referred to in this webpage is subject to separate terms and conditions
  • The Coronavirus Business Interruption Loan programme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy and Industrial Strategy
  • The provision of this guarantee scheme should not be construed as an endorsement or warranty of Barclays by the government of the United Kingdom, including the Secretary of State
  • A GBP facility for this product does not require that you hold a Barclays Business Current Account.

1Subject to certain separate terms and conditions and eligibility criteria specified by the Department for Business, Innovation and Skills.

2Subject to status and eligibility.

3Negative interest rates: If your facility is aligned to a floating reference rate (e.g. Bank of England Bank Rate) and that rate becomes less than zero then it will be deemed to be zero i.e. the total interest rate charged for that facility will never be less than the facility margin.

4Maximum assistance may be lower for specific sectors.

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British Business Bank

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To discuss your business requirements and how Barclays can support you, contact us today. Alternatively, please speak to your Relationship Director for more details.