£11 Billion lending package announced for UK Exporters

The government has announced a new lending package that could make it easier for businesses to take on overseas work. Five major UK banks have agreed to make £11 billion available to help businesses invest, hire and expand into new international markets. 

Half of all British businesses are customers of one of the banks involved (Lloyds, Barclays, Santander, NatWest and HSBC), suggesting the funding could be a viable option for a large proportion of businesses.

Understanding the new lending

The money is coming directly from the banks, but UK Export Finance (UKEF) will guarantee up to 80% of eligible loans. For working‑capital loans of up to £10 million, banks can apply this guarantee automatically.

Alongside the finance itself, businesses will be able to access support from bank relationship managers and UKEF’s regional Export Finance Managers.

What could this mean in practice?

The package could be useful if you have a specific overseas opportunity, that’s putting pressure on your cash flow because of timing or scale. 

For example, you might receive an order from a distributor abroad and need to buy materials upfront. Or you might want to set up a team to bid on a contract overseas but need funding to cover the early setup costs or get some certainty around the business’s working capital.

International markets can prove an effective way to grow a business. The guarantee available with this lending could make financing a move that previously felt out of reach more accessible.

What to do next…

If you already have overseas customers, or if you’ve identified international opportunities that you haven’t been able to develop and you are a customer of one of these banks, speak to them to find out how this lending could sit alongside your existing facilities.