The government's new recovery loan scheme, announced at the Spring Budget on 3 March 2021, will replace the previous emergency government loan schemes (including the Bounce Back Loan Scheme and the Coronavirus Business Interruption Loan Schemes) when they close. The Recovery Loan Scheme will launch on 6 April 2021, offering loans from £25,000 to £10m to businesses impacted by the pandemic and will close on 31 December 2021, "subject to review". The government will provide lenders with an 80% guarantee to ensure they have confidence to lend to businesses. There will be two types of finance: term loans and overdrafts from £25,000 to £10m per business; and invoice finance and asset finance from  £1,000 to £10m per business. Finance terms are up to six years for term loans and asset finance facilities, and up to three years for overdrafts and invoice finance facilities. Lenders will not take personal guarantees on facilities up to £250,000, and a borrower’s principal private residence cannot be taken as security. We will keep you updated as and when we have more information from the government.