More charities can access one of the government’s schemes to support organisations through the Covid-19 pandemic now that a restriction has been lifted.
Registered charities do not now need to show that half their income comes from trading to be eligible for the Coronavirus Business Interruption Loan Scheme.
Yesterday evening the British Business Bank, which is overseeing the scheme, updated its terms and conditions to state: “Charities are in principle eligible if they satisfy the other eligibility criteria of the scheme.
“Note: registered charities are exempt from the requirement that 50% of the applicant’s income must be derived from its trading activity.”
The scheme was one of the first measures announced by the chancellor to support the economy through the coronavirus crisis.
Government ministers have repeatedly cited the scheme as part of the package of support available to charities. But sector bodies have been warning that the requirement that 50% of income came from trading was a barrier for many charities.