Niamh Smyth
Question:91. Deputy Niamh Smyth asked the Tánaiste and Minister for Enterprise, Trade and Employment if the new Brexit impact loan scheme will reopen for applications. [43846/21]
View answerWednesday, 15 September 2021
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The Brexit Impact Loan Scheme will make up to €330m in lending available to SMEs and small mid-caps impacted by the UK’s withdrawal from the EU. This scheme is a successor to the Brexit Loan Scheme, which will close to new applications as the new scheme opens.
The Brexit Impact Loan Scheme has been developed in cooperation between my Department and the Department of Agriculture, Food and the Marine. It will be operated by the Strategic Banking Corporation of Ireland (SBCI) and delivered through participating lenders. The scheme is supported by a guarantee through the European Guarantee Fund (EGF), which is being implemented by the European Investment Fund [EIF] on behalf of the European Commission.
Loans under this scheme will range from €25,000 to €1.5m, and will be for longer terms than under its predecessor: up to six years. These loans will be offered at lower interest rates than other similar lending in the market, and loans of up to €500,000 will be made available unsecured. These loans can be used for liquidity or investment purposes.
The terms of the new scheme are comparable to those offered under the COVID-19 Credit Guarantee Scheme, which has seen significant uptake since its launch in September 2020. To date, 6,592 loans have been provided by the COVID-19 Credit Guarantee Scheme, to a total value of more than €431 million.
The Brexit Impact Loan Scheme is expected to open to new applications later this month.