News article

Coronavirus: COVID-19 Corporate Financing Facility for large companies

24 March 2020


New lending facility for larger firms to help bridge COVID-19 disruption to their cash flows

Under the new Covid-19 Corporate Financing Facility, the Bank of England will buy short-term debt from larger companies.

This will support your company if it has been affected by a short-term funding squeeze, and allow you to finance your short-term liabilities.

It will also support corporate finance markets overall and ease the supply of credit to all firms.

Eligibility

Companies - and their finance subsidiaries - that make a material contribution to the UK economy are able to participate in the facility.

The Bank of England has outlined full eligibility criteria for the scheme.

How to access the scheme

The scheme is now available.

In order to access the scheme, you will need to contact your bank. It is important to note that not all banks issue commercial paper. Commercial paper is an unsecured, short-term debt instrument issued by a company. If your bank does not issue commercial paper, UK Finance will provide a list of banks that are able to assist.

For further detail, see Covid Corporate Financing Facility: information for those seeking to participate in the scheme.

For small businesses, find information on the Business Interruption Loan Scheme.


First published 24 March 2020