Lender joins help scheme

Online lender Funding Circle has won approval to take part in an emergency taxpayer-backed loan programme to support struggling small businesses, writes Michael O’dwyer.

The London-listed lender will take part in the scheme set up by Rishi Sunak, the Chancellor, to provide up to £5m to companies battling against lockdown.

The taxpayer will cover 80pc of losses if a borrower defaults. Funding Circle is the latest alternative lender to join the scheme.