Coronavirus Large Business Interruption Loan Scheme (CLBILS)
Support for businesses with a turnover over £45 million
Please contact your Relationship Director to enquire about the scheme.
If Bank of Scotland do not already currently provide your main Business Current Account, please speak to your main bank for support in the first instance.
Key features of the CLBIL scheme
The Coronavirus Large Business Interruption Loan Scheme (CLBILS) provides finance to mid-sized and larger UK businesses with a group turnover of more than £45m (the upper limit for the existing smaller-business focused CBILS) that are suffering disruption to their cash flow due to lost or deferred revenues during the COVID-19 outbreak.
Following HM Treasury’s announcement on 19 May, several changes to the CLBILS scheme have taken effect from 26 May. The maximum amount available through CLBILS to a borrower and its group has now increased from £50m to £200m. Term loans and revolving credit facilities over £50m will be offered by CLBILS lenders which have secured additional accreditation.
- CLBILS is a government-backed initiative for businesses with an annual group turnover over £45 million
- We can support with term loans and revolving credit facilities for a term between 3 months and 3 years
- The maximum amount available through CLBILS to a borrower and its group has now increased from £50m to £200m. Eligible businesses with a group turnover over £45 million can apply for loans between £50,000 and £200 million subject to caps based on UK presence.
- The borrower should have a borrowing proposal which, were it not for the current pandemic, would be considered viable by the lender, and for which the lender believes the provision of finance will enable the business to trade out of any short-to-medium term difficulty
- The scheme provides the lender with a government-backed, partial guarantee (80%) against the outstanding facility balance
- Borrowers will benefit from a proportionate reduction in pricing as a result of lenders receiving capital and risk benefits
- No personal guarantees are permitted for facilities under £250,000. For facilities of £250,000 and over, claims on personal guarantees cannot exceed 20% of losses after all other recoveries have been applied
- The borrower always remains 100% liable for the debt.
British Business Bank
As a confirmed accredited lender of the government CBIL scheme, we’re here to support our customers during the coronavirus outbreak.
If you require more information about the scheme, please visit the British Business Bank website.
As of 17 December 2020, the scheme deadline for new applications has been extended to 31 March 2021.
- The scheme is open to businesses who have not received a facility under the Bank of England’s COVID-19 Corporate Financing Facility (CCFF), Bounce Back Loan Scheme (BBLS) or the Coronavirus Business Interruption Loan Scheme (CBILS), unless the CLBILS will refinance the whole of the BBLS or CBILS facility.
- Companies borrowing more than £50m through CLBILS will be subject to further restrictions on dividend payments, senior pay and share buy-backs during the period of the loan.
- With certain specific carve-outs and exceptions, a CLBILS facility must at all times during its life have security at least equal to the most senior obligations of the Borrower.
- You must be an existing Bank of Scotland customer.
The Coronavirus Large Business Interruption Loan Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy & Industrial Strategy. British Business Bank plc is a development bank wholly owned by HM Government. It is not authorised or regulated by the PRA or the FCA. Visit british-business-bank.co.uk.