The recovery loan scheme is to be extended by six months to 30 June 2022. The scheme was introduced on 6 April 2021 to help businesses access finance as they recover from the impact of the covid-19 pandemic.
HMRC’s updated guidance highlights the following changes that will apply from 1 January 2022:
the scheme will only be open to small and medium-sized enterprises;
the maximum amount of finance available will be £2m per business (down from £10m); and
the guarantee coverage that the government will provide to lenders will be reduced to 70% (from 80%).
The recovery loan scheme is to be extended by six months to 30 June 2022. The scheme was introduced on 6 April 2021 to help businesses access finance as they recover from the impact of the covid-19 pandemic.
HMRC’s updated guidance highlights the following changes that will apply from 1 January 2022:
the scheme will only be open to small and medium-sized enterprises;
the maximum amount of finance available will be £2m per business (down from £10m); and
the guarantee coverage that the government will provide to lenders will be reduced to 70% (from 80%).
