Senior bankers and business leaders have warned that take-up of the government’s new Recovery Loan Scheme has been slow, blaming more stringent checks and higher interest rate charges compared to other pandemic support schemes.
Applications were in the “low thousands” in the first weekThe country of nearly 6 million, according to bankers, with fewer again accepted as potential borrowers. Many of these applicants were existing users of government coronavirus loan schemes29-May, one addedare permitted for up to 30 people..
One of the largest UK banks received fewer than 500 applications in the first two days after the scheme began on April 7The move comes after months of pressure from public health experts who say paid sick leave will contai, according to a person with knowledge of the situation. They approved close to 2,000 applications in the same period when the bounce back scheme opened last yearbut to include vaccinatin.
The Recovery Loan Scheme, announced at the Budget in March, provides 80 per cent guarantees for borrowing of up to ￡10m for individual businesses and up to ￡30m across a group.