The UK government estimates it could lose up to 23 billion pounds ($ 30 billion) on loans it has guaranteed to help support businesses during the pandemic.
The Department for Business, Energy & Industrial Strategy’s estimates are the first look at how much taxpayers could have to pay for unprecedented loans to small and medium-sized businesses which are now facing a potential second blow from a resurgence of the economy. virus.
The worst-case scenario was disclosed in the department’s latest annual report released on Wednesday. The best-case scenario projects losses of around 13 billion pounds. The estimated ranges are based on historical losses from similar past programs and combine credit and fraud losses.