Last updated: August 11th, 2026
Scheme closed — this page is an archive. CBILS closed to new applications on 31 March 2021. The Recovery Loan Scheme that replaced it closed on 30 June 2024. The government-backed scheme available today is the Growth Guarantee Scheme. No CBILS facility can be arranged.
This page was originally a long list of questions we were asked while CBILS was running, written in January 2021. It has been condensed to the questions that still come up, answered accurately in the past tense. If you hold an existing CBILS facility, contact the lender that provided it — we cannot administer or vary a facility we did not arrange.
CBILS Questions, Answered
What did CBILS stand for?
CBILS stood for the Coronavirus Business Interruption Loan Scheme. It was a government-backed loan scheme set up in April 2020 to help UK businesses access finance during the pandemic. It closed to new applications on 31 March 2021.
How much could you borrow under CBILS?
Facilities ran from £50,001 up to £5 million. Borrowing was typically capped at around 25% of turnover based on 2019 accounts, and was always subject to affordability and the lender’s own underwriting. Meeting the scheme criteria never guaranteed approval.
Did the government repay CBILS loans if a business could not?
No. This was the most widely misunderstood feature of the scheme. The government guarantee protected the lender, covering 80% of the outstanding balance. The borrower always remained 100% liable for the full debt. The same principle applies to the Growth Guarantee Scheme today, where the guarantee to the lender is 70%.
Did the government pay the interest on CBILS?
For the first 12 months only. The Business Interruption Payment covered the first year of interest and any lender arrangement fees. That support ended with the scheme and has not been repeated. Neither the Recovery Loan Scheme nor the Growth Guarantee Scheme includes any government contribution to interest or fees.
Were personal guarantees required for CBILS?
Not for facilities under £250,000. Above that threshold lenders could take personal guarantees, but a principal private residence could not be taken as security. Under the Growth Guarantee Scheme personal guarantees are at the lender’s discretion, and a principal private residence still cannot be taken as security.
Could a Bounce Back Loan be converted into CBILS?
Yes, while both schemes were open. A business could refinance a Bounce Back Loan into a larger CBILS facility, but could not hold both at the same time. Both schemes closed at the end of March 2021, so this is no longer possible.
What was the CBILS deadline?
31 March 2021. CBILS, the Bounce Back Loan Scheme and the Coronavirus Large Business Interruption Loan Scheme all closed to new applications at the end of March 2021. Together the three schemes disbursed over £79 billion.
What government-backed funding is available now?
The Growth Guarantee Scheme, delivered through the British Business Bank. It is not a crisis measure and there is no requirement to show pandemic impact. Facilities are generally up to £2 million per business group, with a 70% guarantee to the lender, for businesses with turnover up to £45 million (rising to £54 million). It covers term loans, overdrafts, asset finance, invoice finance and asset-based lending, through accredited lenders.
The original version of this page was written on 4 January 2021 and reflected scheme rules as they stood then. Full historical scheme information is published by the British Business Bank.
Talk To Us About Current Funding
We are an independent commercial finance brokerage in Bolton. If your business needs funding, we will look at what you are trying to achieve and tell you whether a scheme-backed facility or an ordinary commercial one is the better route — and which lenders are realistically going to say yes. We do not charge broker fees.
Call 0161 546 9128 or get in touch.
Related Reading
Growth Guarantee Scheme — current government-backed business loans