Growth Guarantee Scheme

Growth Guarantee Scheme

The Growth Guarantee Scheme (GGS) went live on 1st July and is the successor to The Recovery Loan Scheme (RLS).

Growth Guarantee Scheme

The successor scheme to the Recovery Loan Scheme, The Growth Guarantee Scheme (GGS) launched in July 2024 and is designed to support access to finance for UK small businesses as they look to invest and grow. 

The Growth Guarantee Scheme aims to improve the terms on offer to borrowers. If we can offer your business a commercial loan for the same amount, on similar or better terms, that doesn’t require the guarantee provided by the Growth Guarantee Scheme, then we will.

Businesses that took out a Coronavirus Business Interruption Loan Scheme (CBILS), Coronavirus Large Business Interruption Loan Scheme (CLBILS), Bounce Back Loan Scheme (BBLS) or a Recovery Loan Scheme (RLS) facility before 30 June 2024 are not prevented from accessing Growth Guarantee Scheme, but borrowing under these schemes may reduce the maximum amount the borrower is eligible for.

Growth Guarantee Scheme-backed facilities are provided at the discretion of Bank of Scotland. We are required to undertake our standard credit and fraud checks for all applicants.

British Business Bank

We are a confirmed accredited lender of the government-backed Growth Guarantee Scheme.

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Growth Guarantee Scheme Features

  • Up to £2m facility per business group: The maximum amount of a facility provided under the scheme is £2m per business group. Minimum facility size it £25,001.
  • Term length: Choose a repayment term between 1-6 years
  • Personal Guarantees: A Personal Guarantee may be required. Principal Private Residences cannot be taken as security within the Scheme.
  • Guarantee is to the lender: The scheme provides the lender with a 70% government-backed guarantee against the outstanding balance of the facility after it has completed its normal recovery process. The borrower always remains 100% liable for the debt.
  • Subsidy: The assistance provided through GGS, like many Government-backed business support activities, is regarded as a subsidy and is deemed to benefit the borrower. There is a limit to the amount of subsidy that may be received by a borrower, and its wider group, over any rolling three-year period. Any previous subsidy may reduce the amount a business can borrow.

All borrowers in receipt of a subsidy from a publicly-funded programme should be provided with a written statement, confirming the level and type of aid received.

Borrowers will need to provide written confirmation that receipt of the GGS facility will not mean that the business exceeds the maximum amount of subsidy they are allowed to receive.

Can I apply?

Your business must:

  • Be UK-based with a turnover of up to £45 million
  • Have a viable business proposition
  • The borrower must not be a business in difficulty, including not being in relevant insolvency proceedings
  • Ensure the Loan is for business purposes
  • Not have breached any rules under previous Government Lending Schemes

What do I need to apply?

You will need to provide certain documents when you apply for a GGS-backed Loan, these could include:

  • Management accounts
  • 3 years worth of historic accounts
  • The amount of any previous subsidy received
  • Details of assets

Industry Eligibility

The following industries are not eligible under the Growth Guarantee Scheme:

  • Banks, Building Societies, Insurers and Reinsurers (excluding Insurance Brokers)
  • Public sector bodies, and
  • State funded primary and secondary schools

Enquire about the Growth Guarantee Scheme

If you have a Relationship Manager please contact them on the usual number, otherwise call 0345 300 0268.

Lines are open 8am to 6pm Monday to Friday, except public holidays.

Business Guidance

The British Business Bank’s Business Guidance pages have a range of guidance and resources for businesses, including information on how to manage your cashflow and where to find independent advice. 

The Growth Guarantee Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business & Trade. 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 Growth Guarantee Scheme.

Whilst all reasonable care has been taken to ensure that the information provided is correct, no liability is accepted by Bank of Scotland for any loss or damage caused to any person relying on any statement or omission. This is for information only and should not be relied upon as offering advice for any set of circumstance. Specific advice should always be sought in each instance.