Improved measures announced after last week’s budget.
In a joint statement today with the PM, the Chancellor set out some details of the economic response and promised more information and targeted action in the days ahead.
Sunak’s measures also included a package of direct support to businesses worth more than £20bn.
The £330bn loan guarantees are designed to provide access to loans “on attractive terms” for all businesses who need it. Larger businesses will be supported by a new lending facility agreed with the Bank of England.
Smaller businesses can access a big extension of the business interruption loan scheme which was first announced last week and the £3,000 cash grant for 700,000 small businesses announced in the Budget has been increased to £10,000.
There will be loans of up to £5m available, with no interest due for the first six months, and the scheme will be “up and running by next week”.
The Chancellor revealed significant investment to support businesses operating in the hospitality, leisure and retail sectors.
Cash grants of up to £25,000 to eligible businesses in the hospitality, leisure and retail sectors were also announced.
In addition, a business rates holiday previously announced for some businesses in those sectors has now been extended to all businesses, which will now pay no business rates for 12 months.