Rates under the Growth Guarantee Scheme
Under the Growth Guarantee Scheme, accredited lenders set their own interest rates and fees. The government guarantee helps lenders lend but doesn't fix the rate, so offers can differ.
Interest is worked out each month on the balance you still owe, at one twelfth of the annual rate. Early payments are mostly interest; as the balance falls, more of each payment repays the loan.
Worked example
A £100,000 loan at 8% over 5 years costs £21,658.37 in interest, £7,387.66 of it in the first year. At 10%, the interest would be £27,482.27.
Comparing offers
Compare lenders on the total amount repayable, including fees, not just the headline rate.
Inputs for the GGS loan interest rate calculator
Amount to borrow
The amount your business wants to borrow.
Interest rate (per year)
The annual interest rate on your loan. The rate shown is only an example, so enter the rate from your quote.
Term
How many years you'll repay over. A longer term means paying interest for longer.
CALCULATOR QUESTIONS
GGS loan interest rate calculator questions
What interest rate does the Growth Guarantee Scheme charge?
The lender sets the rate; the scheme doesn't fix it. Compare offers.
How much interest on a £100,000 GGS loan?
At 8% over 5 years, £21,658.37.
Why do I pay more interest at the start?
Interest is charged on the balance you owe, which is highest at the start. As you repay, it falls and so does the interest.
Does this include fees?
No. Add any arrangement fees to see the full cost.