The chancellor has expanded the government's Coronavirus Large Business Interruption Loans Scheme to now include businesses with turnovers greater than £500m.
Ahead of the scheme's launch on Monday (April 20), all viable businesses with a turnover of more than £45m are now eligible to apply for the government-backed support.
Originally businesses with turnovers greater than £500m could not apply for the loan scheme, which was set up to help firms that do not qualify for the existing Coronavirus Business Interruption Loan Scheme for small and medium sized companies.
The changes will see large firms able to apply for up to £25m of finance and a loan of up to £50m for those with a turnover of more than £250m.
Mr Sunak said the expansion of the scheme should ensure no viable business "slipped through [the government's] safety net of support".
He added: "This is a national effort and we’ll continue to work with the financial services sector to ensure that our £330bn of government support, through loans and guarantees, reaches as many businesses in need as possible."
The scheme is available through certain accredited banks and lenders, but any losses are backed by an 80 per cent government guarantee.
Business secretary Alok Sharma warned coronavirus had "struck a heavy blow" against businesses of all sizes across the UK.
Mr Sharma said: "Expanding this scheme will provide larger firms with the support they need during the pandemic, helping to provide job security to thousands of people and protect our economy."
On Wednesday it emerged small and medium sized businesses had so far received £1.1bn under the government's Coronavirus Business Interruption Loan Scheme as approvals doubled last week.
The scheme for smaller businesses provides loans of up to £5m, but both the government and regulators have made clear the funding is intended for supporting "viable firms through the crisis" and not "propping up firms which were failing in the first instance ".
In a Treasury committee hearing earlier this week the chief executive of the banking trade body said the government could extend the business loan scheme in order to help the smallest businesses which were currently slipping through the net.
rachel.mortimer@ft.com
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