British Business Bank Injects £500 Million into SME Support Scheme

Learn about the British Business Bank’s recent expansion of the Growth Guarantee Scheme, providing an additional £500 million in lending capacity to assist SMEs affected by global tariff changes.

Growth Guarantee Scheme

In a welcome move for small businesses across the UK, the British Business Bank has announced a substantial expansion to its Growth Guarantee Scheme. With an additional £500 million in lending capacity, this scheme aims to provide a financial lifeline to businesses navigating a turbulent economic climate shaped by global trade disruptions and rising operational costs.

The Growth Guarantee Scheme enables accredited lenders to offer loans of up to £2 million to eligible SMEs, with 70% of each loan backed by a government guarantee. This significantly lowers the risk for lenders, making it easier for small businesses to access much-needed finance. Whether a business is looking to expand operations, enter new markets, or invest in digital infrastructure, this scheme offers flexible, affordable options.

Business Resilience

The decision to expand the scheme was prompted by feedback from business owners who have faced challenges securing traditional bank loans in recent months. Many SMEs have been affected by new tariffs, supply chain bottlenecks, and labour shortages, all of which have placed additional stress on their financial resources.

This scheme isn’t just about short-term relief. It’s about fostering long-term business resilience. With increased government backing, SMEs can now plan further ahead, make strategic investments, and focus on scaling sustainably.

It’s important to note that businesses must apply through accredited lenders and meet specific eligibility criteria. These include demonstrating commercial viability and a sound repayment plan.

Check your eligibility for the Growth Guarantee Scheme and consider how a low-risk loan could help your business adapt and grow in a shifting global market. Now is a great time to review your business plan and explore financing that supports your long-term goals.

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