Growth Guarantee Scheme (GGS)

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.

Growth Guarantee Scheme features

The maximum amount of a facility provided under the scheme is generally £2m per business group for borrowers outside the scope of the Northern Ireland Protocol, and up to £1m per business group for Northern Ireland Protocol borrowers. There is a minimum facility size of £25,001.00.

Term loans are available from twelve months up to six years.

Businesses that took out a CBILS, CLBILS, BBLS or RLS facility before 30 June 2024 are not prevented from accessing the Growth Guarantee Scheme, but borrowing under these schemes may reduce the maximum amount the borrower is eligible for.

Interest rates and fees charged by Barclays will vary and will depend on the specific lending proposal. Barclays pricing will take into account the benefit of the Government guarantee.

Personal guarantees can be taken at Barclays discretion, in line with our normal commercial lending practices. Principal Private Residences cannot be taken as security within the Scheme.

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;
Growth Guarantee Scheme-backed facilities are provided at the discretion of Barclays and we are required to undertake our standard credit and fraud checks for all applicants. The assistance provided through the Growth Guarantee Scheme, 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. More information on subsidies is available here^.

GGS 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, generating more than 50% of its income from trading activity;.
Viability test: Barclays 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 Growth Guarantee Scheme 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
Please note, the following are not eligible under the Growth Guarantee Scheme:
- Banks, Building Societies, Insurers and Reinsurers (excluding Insurance Brokers)
- Public sector bodies
- State-funded primary and secondary schools

Applying for the Growth Guarantee Scheme

Our relationship teams are here to support you, so please do not hesitate to get in touch with your relationship contact for assistance as needed. They will be able to discuss whether an GGS is right for your business, and help you with your application.

You will need to provide certain documents when you apply for an RLS-backed facility. These are likely to include:

Management accounts
A business plan
Historic accounts
The amount of any previous subsidy received.

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.

Legal notice

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 www.british-business-bank.co.uk/finance-options/debt-finance/growth-guarantee-scheme^

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