Further capacity given for the Growth Guarantee Scheme

The Growth Guarantee Scheme (GGS) has been granted an increase in capacity for businesses across the UK.

The Chancellor announced over the weekend that the Growth Guarantee Scheme (GGS) will deliver an estimated £500 million of extra lending capacity to support SMEs across the country.

Due to changes in the external economic environment, the additional funding capacity is targeted towards smaller businesses that need solutions to improve cash flow.

Since the Growth Guarantee Scheme (GGS) was introduced, it has provided more than £2 billion in finance with over 13,000 facilities used.

Growth Guarantee Scheme for UK Businesses

The Growth Guarantee Scheme (GGS) offers UK businesses access to funding from £10,000 up to £2 million in government-backed loans. With a 70% government guarantee, the scheme provides finance for various purposes, including growth, equipment purchases, and payroll. The extra capacity will allow for an estimate of £500 million in additional funding for UK businesses.

What is the Growth Guarantee Scheme (GGS)?

The Growth Guarantee Scheme (GGS) is the successor to the Recovery Loan Scheme (RLS).

The Growth Guarantee Scheme is a government-supported lending initiative available to businesses across the UK. The scheme serves as a follow-up initiative to the Recovery Loans Scheme, operating under similar conditions. Applications for the Growth Guarantee Scheme began on 1st July 2024 and will remain open until 31st March 2026.

The Growth Guarantee Scheme enables UK businesses to access loans and other kinds of finance of up to £2m per business, provided they can demonstrate their ability to service the debt. The government guarantees up to 70% of the loan value, offering significant security to lenders and encouraging them to extend credit to businesses that might not meet standard lending criteria.

The funding can be used for any legitimate business purpose, including business growth, investing in marketing, purchasing business equipment and assisting with payroll.

Businesses that have already received support under existing COVID-19 guaranteed loan schemes (such as CBILS, Bounce Back and RLS loans) will still be eligible to access the growth guarantee scheme.

How to apply for the Growth Guarantee Scheme?

MAF Finance Group can compare finance offerings from a wide panel of funders to identify the best option for you.

If you would like to get a quote or require further information, fill out the form and we will be in touch. If you want to speak to someone directly, you can call on 0115 958 6872. Alternatively, email us at [email protected].