RecoveryLoan Scheme

We’re no longer offering Recovery Loans, but don’t worry! Our Nucleus Business Loans are here to meet your long-term borrowing needs. With these loans, you can access amounts ranging from £10k to £2m, with flexible repayment terms spanning three months to six years.

Apply for a Business Loan

Searching for a financial boost now that the Recovery Loan Scheme has wrapped up?

Look no further. Our Nucleus Business Loans are tailor-made for businesses like yours, eager to soar to new heights.

With the ability to borrow anything from £10,000 to £2m, repayable over a flexible period of three months to six years, we’ve got the flexible financial solution you’ve been seeking. Plus, there’s no need to worry about collateral – our loans are unsecured. It’s the traditional banking expertise combined with the speed and innovation of alternative lending, all wrapped up in one powerful package.

Are you seeking a more adaptable alternative? Should that be the case, you may find our Revenue-Based Loans to be just the thing for you. This exclusive type of loan permits you to borrow as much as 200% of your monthly revenue, contingent on your Ecommerce sales and card transactions. Furthermore, you’ll have the opportunity to benefit from ongoing top-ups, providing extra funding that can be incredibly valuable for rapidly expanding businesses.

Whether you’re aiming for expansion, innovation, or just need to bridge a financial gap, Nucleus is here to assist you.

Up to £2M
3-6 years*
First 12 months interest only

A Retrospective look at the Recovery Loan Scheme (RLS)

Launched on 6th April 2021, the Recovery Loan Scheme marked a pivotal moment in the UK’s business landscape. During a challenging time following the Covid-19 pandemic, RLS was there to provide a lifeline, supporting businesses with the vital finance they needed to manage cashflow, invest, and grow. 

Did you take advantage of our CBILS facility? The Recovery Loan Scheme was there for you too, aiming to support businesses that were capable of responsibly utilising additional finance. 

Key Milestones of the RLS 

  • Enhanced Opportunities: The scheme sought to offer better terms to businesses, and where a lender could present a commercial loan with superior conditions without needing the RLS’s guarantee, they were encouraged to do so. 
  • Flexible Assistance: From cashflow management to strategic investment, RLS was adaptable to various business needs and ambitions. 
  • Inclusive Support: Open to all businesses affected by Covid-19, the scheme was a beacon of support for those striving to recover. 

Important Transitions 

At the Autumn Budget 2021, the government declared an extension of the Recovery Loan Scheme until 30th June 2022, with adaptations applied to all offers made from the 1st January 2022. 

A Continued Commitment 

The Recovery Loan Scheme was more than just financial assistance; it was a partnership in progress, a shared journey towards growth and stability. While this particular chapter has concluded, the spirit of support and innovation continues. 

Would you like to stay connected with the latest business support initiatives? Signup for updates and join a community committed to success, resilience, and forward-thinking. 

Download the Recovery Loan Scheme factsheet

About RLS

The Recovery Loan Scheme (RLS) launched on 6 April 2021 and supports access to finance for UK businesses as they recover and grow following the Covid-19 pandemic. RLS aims to help businesses affected by Covid-19 and can be used for business purposes, including, managing cashflow, investment and growth. It is designed to support businesses that can afford to take out additional finance for these purposes. Businesses who have taken out a CBILS, CLBILS or BBLS facility are able to access the new scheme.

A key aim of the Recovery Loan Scheme is to improve the terms on offer to businesses, but if a lender can offer a business the choice of a commercial loan on better terms, without requiring the guarantee provided by the RLS, they should do so.

At Autumn Budget 2021, the government announced that the Recovery Loan Scheme will be extended by six months to 30 June 2022, with changes applying to all offers made from the 1 January 2022.

Eligibility Restrictions

Please note: The following are not eligible under RLS:

  • Banks, Building Societies, Insurers and Reinsurers (excluding Insurance Brokers)
  • Public sector bodies.
  • State funded primary and secondary schools.

Business Finance Support

The British Business Bank has a range of guidance and resources available to all businesses, including content on managing your cashflow and a list of independent advice services.

Frequently Asked Questions

Under this scheme, businesses can borrow between £1,000 and £2m. Across a Group, the total RLS facilities can be up to £30m. The amount offered to you will vary dependent on the type of finance you apply for, the lender you apply with and in some cases, whether you’ve already accessed a CBILS or CLBILS facility.

Yes, your business can absolutely apply for this new scheme even if you already have an existing government coronavirus loan scheme in place. Note: the amount lenders are prepared to offer your business might be limited if you already have a CBILS or CLBILS facility.

To get funding via RLS, simply click the Register your Interest button.

As with CBILS, you do not need to provide any personal guarantees for loans that are £250k or less. For larger loans, you might be asked for personal guarantees limited to 20% of the loan amount. Please note that with personal guarantees, any recoveries from PPR (primary residence) are prohibited.

If you previously submitted an application for funding and had it rejected, that doesn’t mean your business can’t try to access funding again. Whether you were rejected in the past for a government coronavirus loan or a traditional commercial loan, it’s worth doing your research to ascertain what options are available to your business. Accredited lenders will review all applications on a case-by-case basis and if you don’t meet the eligibility criteria for one lender, you may find other lenders are still willing to lend you money.

  • Covid-19 impact: The borrower must confirm to the lender that it has been impacted by Covid-19.
  • UK-based: The borrower must be carrying out trading activity in the UK.
  • Viability test: The lender will consider that the borrower has a viable business proposition but may disregard any concerns over its short-to-medium term business performance due to the uncertainty and impact of Covid-19.
  • Credit and fraud checks for all applicants: Lenders will be required to undertake credit and fraud checks for all applicants as they would for commercial facilities. The checks and approach may vary between lenders.
  • Turnover limit: Businesses with a turnover not exceeding £45m per annum.

  • Up to £2m facility per business: The maximum amount of a facility provided under the scheme is £2m per business (maximum £6m per group). Minimum facility sizes vary, starting at £1,000 for asset and invoice finance, and £25,001 for term loans and overdrafts.
  • Term length: Term loans and asset finance facilities are available from three months, for up to six years, with overdrafts and invoice finance available from three months, for up to three years.
  • Interest and fees to be paid by the borrower from the outset: Businesses are required to meet the costs of interest payments and any fees associated with the RLS facility.
  • Access to multiple Covid-19 schemes: Businesses that have taken out a CBILS, CLBILS or BBLS facility are able to access the new scheme although the amount they have borrowed under a previous scheme may in certain circumstances limit the amount they may borrow under RLS.
  • Personal Guarantees: Personal guarantees are not permitted for facilities of £250,000 or less. Above £250,000 the maximum amount that can be covered under RLS is capped at 20% of the outstanding balance of the RLS facility after the proceeds of business assets have been applied. No personal guarantees can be held over Principal Private Residences.
  • Guarantee to the Lender: The scheme provides the lender with a government-backed guarantee against the outstanding balance of the facility. The borrower always remains 100% liable for the debt.

The Recovery Loan Scheme (RLS) launched on 6 April 2021 and supports access to finance for UK businesses as they recover and grow following the Covid-19 pandemic.

RLS aims to help businesses affected by Covid-19 and can be used for business purposes, including, managing cashflow, investment and growth. It is designed to support businesses that can afford to take out additional finance for these purposes. Businesses who have taken out a CBILS, CLBILS or BBLS facility are able to access the new scheme.

A key aim of the Recovery Loan Scheme is to improve the terms on offer to businesses, but if a lender can offer a business the choice of a commercial loan on better terms, without requiring the guarantee provided by the RLS, they should do so.

Please note: The following are not eligible under RLS:

  • Banks, Building Societies, Insurers and Reinsurers (excluding Insurance Brokers)
  • Public sector bodies.
  • State funded primary and secondary schools.

The British Business Bank has a range of guidance and resources available to all businesses, including content on managing your cashflow and a list of independent advice services.

The Recovery Loan Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy & Industrial Strategy. 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 http://www.british-business-bank.co.uk/recovery-loan-scheme

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Legal Notice

The Recovery Loan Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy & Industrial Strategy. 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 http://www.british-business-bank.co.uk/recovery-loan-scheme

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