The Growth Guarantee Scheme
Product Description:
On April 13 2025, the Chancellor announced the Growth Guarantee Scheme will provide approximately £500m of additional lending capacity to help more smaller businesses across the UK. The extra funding is aimed at smaller businesses that may need support with cashflow issues due to changes in global tariff rates.
Businesses can use the finance for any legitimate business purpose, including managing cashflow or working capital requirements due to disruption caused by changes to global tariffs. However, businesses must be able to afford to take out additional debt finance for these purposes.
The Growth Guarantee Scheme can generally support facility sizes of up to £2m and provides the lender with a 70% government-backed guarantee.
Further information on this initiative to be provided shortly. The British Business Bank administers the scheme on behalf of the Secretary of State for Business and Trade.
Area of Expertise:
Funding/Finance
Eligibility:
Turnover limit: The scheme is open to smaller businesses with a turnover of up to £45m (on a group basis, where part of a group);
UK-based: The borrower must be carrying out trading activity in the UK and, for most businesses be generating more than 50% of its income from trading activity;
Viability test: The lender must consider that the borrower has a viable business proposition;
Business in difficulty: The borrower must not be a business in difficulty, including not being in relevant insolvency proceedings;
Subsidy limits: 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. 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
Districts:
- Leicester City
- Blaby
- Charnwood
- Oadby and Wigston
- Melton
- Harborough
- Northwest Leicestershire
- Bosworth and Hinckley
Application Process:
Call 0116 454 2179 or email growthhub@bizgateway.org.uk