You might have already heard of the Recovery Loan Scheme (RLS) which was introduced in April 2021 as a government-backed loan scheme to support access to finance for UK businesses as they look to invest and grow.
In August 2022, it was announced that the scheme, which is administered by The British Business Bank on behalf of the Secretary of State for Business and Trade, would continue to run until June 2024 to help businesses handle the pressure of rising costs.
Details on the new iteration of the RLS were announced as Phase 3 (or 3.0) which is available even if a business has previously taken advantage of RLS, CBILS (Coronavirus Business Interruption Loan Scheme), CLBILS (Coronavirus Large Business Interruption Loan Scheme) or BBLS (Bounce Back Loan Scheme).
Banks, building societies, insurance companies, public-sector bodies and state funded primary and secondary schools are not eligible.
Further information on eligibility can be found here.
The RLS aims to improve the terms on offer to borrowers and if a lender can offer a commercial loan with better terms, they will look to do so.
A list of accredited lenders who can facilitate the scheme can be found on the British Business Banks website: Recovery Loan Scheme: current accredited lenders - British Business Bank (british-business-bank.co.uk)
It is worth noting that some lenders that offered facilities under the previous iterations of the scheme between April 2021 and June 2022 may not still be accredited to offer the scheme from August 2022.
Further information about the scheme including eligibility, the application process, frequently asked questions, information about subsidies and comparisons to previous schemes can be found on the British Business Bank website.
As an ethical and FCA-regulated commercial finance intermediary, it’s our duty to ensure our clients make informed financial decisions, and to do this we need to understand the intricacies of your business.
If you’re interested in the RLS and would like to learn more or receive some guidance on making the right decision for your business, our dedicated Loans Specialist James Lewis is on hand to have a no-obligation chat with you to discuss the scheme in more detail and talk you through your options.
You can contact James via the below contact details or get in touch with a member of the team on 01924 248800 or email@example.com
James Lewis: firstname.lastname@example.org | 07715 425 821
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