UK Export Finance and the British Business Bank announced a new joint scheme on 12 July 2026 to help smaller UK businesses access finance for exporting, aimed particularly at lower-value working capital loans that smaller exporters often struggle to secure. The scheme launches in spring 2027; full eligibility criteria, guarantee percentage and loan size limits have not yet been published.
TL;DR · LAST REVIEWED 12 July 2026
- UK Export Finance (UKEF) and the British Business Bank are launching a joint scheme in spring 2027 to increase access to finance for smaller exporters, particularly for lower-value working capital loans.
- UKEF will guarantee a portion of eligible portfolio-level losses, with lenders retaining a share of risk; the British Business Bank will assess, onboard and manage participating commercial lenders.
- The scheme covers term loans and working capital facilities, open to SMEs across all sectors with export ambitions. Guarantee percentage, loan size limits and detailed eligibility criteria have not yet been published.
- This is separate from the existing Growth Guarantee Scheme, which covers general SME lending; the new scheme is specifically for export growth and jointly run with UKEF.
KEY FACTS
- New joint scheme announced 12 July 2026 by UK Export Finance and the British Business Bank
- Launches spring 2027; not yet open for applications
- Targets smaller exporters, particularly those seeking lower-value working capital loans
- UKEF provides a guarantee on a portion of eligible portfolio-level losses; British Business Bank manages participating lenders
- UKEF's 2025-26 Impact Report (published this week) shows over £11 billion in loans, guarantees and insurance, supporting up to 85,000 jobs and up to £6.4 billion added to the economy
What's Being Announced
Chancellor of the Exchequer Rachel Reeves announced a new joint scheme between UK Export Finance (UKEF) and the British Business Bank on 12 July 2026, aimed at increasing access to finance for smaller businesses looking to grow their exports. The scheme specifically targets a gap the government says exists for smaller exporters seeking lower-value working capital loans, a segment it describes as currently underserved by existing finance options.
How It's Meant to Work
The scheme combines UKEF's specialism in export finance with the British Business Bank's experience unlocking lending for smaller businesses. UKEF will provide a guarantee covering a portion of eligible portfolio-level losses, while participating lenders retain a share of the risk themselves. The British Business Bank will handle assessing, onboarding and managing the commercial lenders who take part. The stated aim of this structure is to reduce lender costs and make it viable for lenders to scale up lending to smaller exporters they might otherwise consider too costly to serve.
| What's Confirmed | Detail |
|---|---|
| Launch timing | Spring 2027 |
| Run by | UK Export Finance (UKEF) and the British Business Bank, jointly |
| Target | SMEs with export ambitions, across all sectors |
| Loan types | Term loans and working capital facilities |
| Structure | UKEF guarantees a portion of eligible portfolio-level losses; lenders retain a share of risk |
| Who assesses lenders | British Business Bank onboards and manages participating commercial lenders |
| Not yet confirmed | Guarantee percentage, minimum/maximum loan size, interest rate ranges, specific eligibility criteria |
Who It's For
The scheme will be open to SMEs across all sectors, not restricted to any particular industry, provided they have export ambitions. It will support lending facilities including term loans and working capital, the two categories UKEF and the British Business Bank identified as most needed by smaller exporters. UKEF's nationwide Export Finance Managers will work alongside the British Business Bank's Local Growth Team to direct interested businesses to the right support once the scheme is live.
How This Differs From the Growth Guarantee Scheme
UK businesses already have access to the Growth Guarantee Scheme, a government-backed lending guarantee run by the British Business Bank alone, covering general SME borrowing for any legitimate business purpose. This new scheme is different in scope and purpose.
| Growth Guarantee Scheme | New UKEF/British Business Bank Scheme | |
|---|---|---|
| Purpose | General SME lending (any purpose) | Specifically for export growth |
| Run by | British Business Bank alone | UK Export Finance + British Business Bank jointly |
| Guarantee | 70% (confirmed) | Portion of portfolio-level losses (percentage not yet confirmed) |
| Status | Live now, extended to 31 March 2030 | Launching spring 2027 |
| Loan types | Term loan, overdraft, asset finance, invoice finance, ABL | Term loans and working capital |
In short, a business seeking general working capital or growth funding for domestic operations should still look at the Growth Guarantee Scheme, which is live now. This new scheme is specifically aimed at businesses with export ambitions, and won't be available until spring 2027.
The Context: UKEF's Track Record
The announcement follows UKEF's 2025-26 Impact Report, published earlier the same week, which reported that the department provided more than £11 billion in loans, guarantees and insurance over the past year to help UK companies export and grow, supporting up to 85,000 jobs and contributing up to £6.4 billion to the economy. UKEF's stated mission is that no viable UK export should fail purely for lack of finance; this new scheme is framed as extending that principle further down the business size spectrum than UKEF's existing products typically reach.
What Happens Next
With the scheme not launching until spring 2027, there's nothing to apply for yet. Businesses with export ambitions who want to plan ahead can look at UKEF's existing finance products in the meantime, or the Growth Guarantee Scheme for general funding needs. Kael Tripton will update this article with eligibility criteria, guarantee terms and application details once UKEF and the British Business Bank publish them.
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DISCLAIMER
This article is for general information only and does not constitute financial or business advice. Kael Tripton Ltd is an independent editorial publisher and is not authorised or regulated by the Financial Conduct Authority (FCA). This scheme is not yet open for applications; full terms, eligibility criteria and guarantee details had not been published as of this article's publication date. ICO registration ZC135439.
Frequently asked questions
When can I apply for the new UKEF/British Business Bank export scheme?
Not yet. The scheme launches in spring 2027; applications are not open as of this article's publication, and full eligibility criteria have not been published.
Is this the same as the Growth Guarantee Scheme?
No. The Growth Guarantee Scheme, live now, covers general SME lending for any business purpose. This new scheme is specifically for export growth and is jointly run by UK Export Finance and the British Business Bank.
What size of loan will the scheme cover?
Not yet confirmed. The government has said it will support term loans and working capital facilities, with a focus on lower-value working capital loans smaller exporters currently struggle to access, but specific minimum and maximum amounts have not been published.
Which businesses will be eligible?
The scheme will be open to SMEs across all sectors with export ambitions. Detailed eligibility criteria have not yet been published.
What should I do if I need export finance now, before spring 2027?
Look at UK Export Finance's existing products, which are already available, or the Growth Guarantee Scheme for general business funding needs in the meantime.
SOURCES
- UK Export Finance, UK Export Finance and British Business Bank to launch joint scheme to support thousands of smaller exporters – accessed 12 July 2026
- UK Export Finance, £11 billion of export financing supports 85,000 jobs – accessed 12 July 2026
- British Business Bank, Growth Guarantee Scheme – accessed 12 July 2026
