The Bank is today announcing details of the second phase of TFSME extensions which will allow a small number of previously extended TFSME drawings to be extended by a further 4 years.
Published on 17 May 2024The TFSME was launched in March 2020 as part of measures to respond to the economic shock from Covid-19. The majority of the drawings under the scheme had a 4-year term, however eligible TFSME participants were able to extend the term of their drawings to align with the HM Treasury’s Bounce Back Loans Scheme (BBLS). footnote [1] The first phase of the extension from 4 to 6 years was completed in 2022 footnote [2] .
The second phase extension will impact a small number of drawings and all other TFSME drawings will mature as per their respective contractual 4-year term.
The Bank is today announcing details of the second phase of the extensions which will allow eligible TFSME participants to further extend the term of their TFSME funding eligible for such extension from 6 to 10 years. The amount of TFSME funding that can be extended will be capped at the amount of BBLS lending on TFSME participants’ balance sheets as at 30 June 2024.
TFSME participants eligible for this further extension have been contacted directly.
Further information on the TFSME, including all the relevant documentation, can be found on the Bank’s website footnote [3] .
TFSME documentation has been updated to reflect this change. Other than as amended by this Market Notice, previous Market Notices related to the TFSME continue to apply.