Coronavirus Business Interruption Loan: CBIL Scheme

The Chancellor has brought a government-backed rescue scheme to prepare the country’s economy to withstand the Coronavirus outbreak, called the Coronavirus Business Interruption Loan (CBIL) Scheme. Under the initiative, the companies carrying the weight of the COVID-19 outbreak will be eligible for a loan up to £5 million, with 80% of the balance guaranteed by the government, which they can apply with their usual lenders. The government has proposed to pay all the interest and fees associated with the borrowing, for 12 months.

All applications are set to go through the normal process of applying for a loan. Businesses will have to present a sound borrowing proposal and prove their viability and eligibility for the same.