£10m capital lending scheme to support businesses

More details have been given of an upcoming new scheme to support businesses amid the COVID-19 pandemic.

The Coronavirus Business Working Capital Loan Agreement - which will offer up to £10million of working capital lending - was announced as part of the revised budget statement for the year from Treasury Minister, Alf Cannan MHK, earlier this week.

The initiative is designed to provide extra security for organisations which can't access working capital through their banks or don't qualify for assistance under the Disruption Loan Guarantee Agreement (DLGA).

The Agreement, initially supported by Conister Bank, will offer loans of up to £250,000 with Isle of Man Government-backed guarantees.

Conister has confirmed they are open to receiving applications from non-customers.

Minister Cannan says: "This funding will initially be available through Conister Bank and we very much welcome this additional financial support from the bank, who continue to show significant commitment to the Island’s business community.

"A second lender on Island will also be supporting the Agreement and a further announcement on this, is expected in due course."

Government adds full details of the scheme are being finalised and a further announcement will be made when all the arrangements are in place.