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Written question asked by Neil Coyle (Labour) on Tuesday, 23 June 2026, in the House of Commons. It was due for an answer on Thursday, 25 June 2026. It was answered by Blair McDougall (Labour) on Monday, 29 June 2026 on behalf of the Department for Business and Trade.


Bounce Back Loan Scheme

Question

To ask the Secretary of State for Business and Trade, what steps he is taking to ensure that Covid era Build Back Loan repayment programmes do not contribute to business closures and liquidations.

Answer

The Bounce Back Loan Scheme (BBLS), is a fully delegated scheme. Under the Scheme’s rules and guidance, lenders are expected to pursue recovery activity in a proportionate way, treating borrowers fairly while providing value to the taxpayer.

To make sure that BBLS borrowers are treated fairly, “Pay As You Grow” was introduced, giving borrowers the flexibility to extend loan terms to ten years, make interest-only repayments for six-months, or request a six-month repayment holiday once during the term of the loan.


Secondary information

Type
Written question
Reference
12151
Session
2026-27
Transferred
Yes
Subjects
Business Closures Insolvency Coronavirus Bounce back loan scheme Repayments
Link
View this Written question on www.parliament.uk