8.6 C
New York
Friday, June 9, 2023
Home Industry UK government launches £1.25bn plan to help start-ups

UK government launches £1.25bn plan to help start-ups

The Chancellor has announced support worth £1.25bn for UK start-ups and businesses driving research and development in some of the most dynamic sectors of the UK economy – ranging from tech to life sciences.

The Treasury and the Department for Business, Energy & Industrial Strategy (BEIS) the package consists of a £500m Future Fund investment for high-growth companies impacted by the crisis, made up of funding from government and the private sector.

The scheme is being delivered in partnership with the British Business Bank, and will be open until the end of September 2020

Read also: Leaked Google Pay screenshots reveal a Google debit card, a rival to Apple’s

UK-registered companies that have raised at least £250,000 in equity investment the last five years will be eligible to receive loans of £125,000 to £5 million, provided they can find matching private investment.

The Government is also offering up to £750m in funding for “the most R&D intensive small and medium-size firms” and this is separate from the Future Fund.

Chancellor of the Exchequer Rishi Sunak, said: “Britain is a global leader when it comes to innovation. Our start-ups and businesses driving research and development are one of our great economic strengths, and will help power our growth out of the coronavirus crisis.”

Will Shu, CEO and founder of Deliveroo, said: “It’s great news that the Chancellor is supporting British start-ups that are innovating and will be so vital to the UK economy in the months and years ahead with such a practical and thoughtful scheme.”

Further details provided in an accompanying PDF state that if the company is a member of a corporate group, only the ultimate parent company (if it is a UK-registered company) will be eligible to receive the loan.

An eligible company shall also be subject to customer fraud, money laundering and KYC checks prior to any loan being made.

Jan Cerny
Jan is an innovation enthusiast and Fintech news reporter. He specializes in news distribution, social media, and content analysis.

Recent posts

Sprinque Secures $21 Million Debt Facility to Fuel Expansion Across Europe

Let's delve deeper into this exciting news and explore how Sprinque plans to leverage this debt facility to solidify its presence in the European market.

The Rapid Growth of India’s Neobanking Market: A Digital Revolution

This article explores the factors driving this growth and the future prospects of the neobanking sector in India.

FinTech Giant Stripe Sets Its Sights on the Credit Game

In a surprising move, Stripe, the leading FinTech company known for its robust payment processing platform, has announced its entry into the credit industry.

Responsible Lending in Today’s Economy: A Guide to Sustainable Financial Practices

In this blog post, we will delve into what responsible lending truly means in today's economy and explore its significance in promoting long-term economic stability.