The British Beer & Pub Association (BBPA), has embraced the higher ceiling of the Coronavirus Business Interruption Loan Scheme, from £50 million to £200 million.
The expanded loans will be available from 26 May.
And will be available to large firms, who do not qualify for the Bank of England’s Covid Corporate Financing Facility.
Or companies that do not have enough support to meet cashflow needs during lockdown.
BBPA Campaigned for Extra Finance
Prior to the government’s decision, the BBPA has campaigned for more access to finance.
The trade organisation found that only 25% of pub operators and brewers reported a successful application for finance.
Yet it is still not satisfied that its members are receiving all the support that is should.
And that far greater access for government backing is needed for smaller pub businesses.
As only 11% of pub tenants said that they had received a government backed loan.
BBPA Pressures Government
The BBPA is set to continue applying pressure on the government to increase the access to loans for small pubs.
It is also continuing to campaign for the government to provide additional support, for those pubs most effected by coronavirus.
Specifically the removal of the £51,000 rateable value cap on grant eligibility.
This would open up funding for up to 10,000 more pubs.
And provide further support through beer duty relief.
Evidence Pub Closures Were Decreasing
Generally, the pub industry has faced tough conditions in recent years.
Yet the Office of National Statistics found that there was evidence that the number of pub closures were easing.
In particular for small pubs, as it was revealed that there was 85 more small pubs and bars last year.
The overall number of pubs increased by 315 between 2018 and 2019.