Growth Guarantee Scheme

Growth Guarantee Scheme (GGS)

The successor scheme to the Recovery Loan Scheme, The Growth Guarantee Scheme (GGS) launched in July 2024 and is designed to support access to finance for UK small businesses as they look to invest and grow.

Growth Guarantee Scheme-backed facilities are provided at our discretion. We are required to undertake our standard credit and fraud checks for all applicants.

Loan amount: £25,001 to £50,000

Loan term: 3 months to 5 years

Interest Rate: 11.00% to 14.00% fixed per annum – subject to risk profile/security

Loan Administration Fee: 2% of the total loan value payable in advance

Security Fee: Where applicable, £100 will be charged for taking a Bond and Floating Charge. Other security fees as applicable subject to nature of security.

Personal Guarantees: Personal guarantees can be taken at our discretion, in line with our normal commercial lending practices. Principal Private Residences cannot be taken as security within the Scheme.

Guarantee is to the lender: The scheme provides the lender with a 70% government-backed guarantee against the outstanding balance of the facility after it has completed its normal recovery process. The borrower always remains 100% liable for the debt.

Subsidy:The assistance provided through Growth Guarantee Scheme, like many Government-backed business support activities, is regarded as a subsidy and is deemed to benefit the borrower. There is a limit to the amount of subsidy that may be received by a borrower, and its wider group, over any rolling three-year period. Any previous subsidy may reduce the amount a business can borrow. More information on subsidies is available here.


  • Turnover limit: The scheme is open to smaller businesses with a turnover of up to £45m (on a group basis, where part of a group).

    UK-based: This is a UK wide scheme. However, because DSL only operates in Scotland, the borrower must be carrying out trading activity in Scotland.

    Viability test: We will consider that the borrower has a viable business.

    Business in difficulty: The borrower must not be a business in difficulty, including not being in relevant insolvency proceedings.

    Subsidy limits: Borrowers will need to provide written confirmation that receipt of the Growth Guarantee Scheme facility will not mean that the business exceeds the maximum amount of subsidy they are allowed to receive. All borrowers in receipt of a subsidy from a publicly funded programme should be provided with a written statement, confirming the level and type of aid received.

    Eligibility Restrictions: Please note, the following are not eligible under RLS:

    • Banks, Building Societies, Insurers and Reinsurers (excluding Insurance Brokers)
    • Public sector bodies.
    • State funded primary and secondary schools
    • The facility must be used to support trading in Scotland and cannot be used to support certain export related activities. There are certain restrictions on the use of proceeds of facilities in the agriculture, fisheries and aquiculture, and road freight transport sectors for borrowers impacted by the Northern Ireland Protocol.

Depending upon the legal status of your business, DSL requires the following documents to be submitted along with your GGS application form. Application packs are available at the bottom of this page.

Paperwork required from Sole Traders & Partnerships

Paperwork required from Ltd Companies & LLP’s

  • Completed & Signed Application Form
  • Completed Business Information Form
  • Minimum of 1 year’s financial projections (click here to see guidance notes)
  • The last 2 years certified accounts and your most recent management accounts (no more than 3 months old)
  • The last 3 months business bank statements
  • Completed & Signed Director/Shareholder Identify Verification Form(s) for all directors and shareholders (with 20% shares or more). 
  • Proof of identification and home addresses should be included for all owners & partners (click here to see list of acceptable forms of identification).

Please note, the following are not eligible under RLS:

  • Banks, Building Societies, Insurers and Reinsurers (excluding Insurance Brokers)
  • Public sector bodies.
  • State funded primary and secondary schools

Legal notice

The Growth Guarantee Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business & Trade. British Business Bank plc is a development bank wholly owned by HM Government. It is not authorised or regulated by the PRA or the FCA. Visit debt-finance/growth-guarantee-scheme

Download Your Application Pack

Example Loan Calculator

An example for Illustrative purposes:

Annual Interest Rate (fixed) is 9.95% p.a. (11.3% APR) based on borrowing £50,000 and repaying over 5 years in 60 monthly repayments of £1,061.12 each with total amount payable of £64,667.41.

The loan calculator is designed to help you work out what your total and monthly repayments will be, depending on the loan term and amount you choose. Under the Recovery Loan Scheme, we offer loans from £25,001 to £75,000 at a fixed interest rate of 9.95% per annum (11.3% APR) and you can choose a loan repayment term of up to five years. The APR remains the same for the loan amount and duration.


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