The latest figures show that 8% of borrowers of covid loans have defaulted representing 62,397 loans, valued at £2.09bn.

Around 7% of borrowers have already paid back their loans in full, settling a total of £9bn, while 85% of loans are being paid back on monthly repayments as scheduled.

Lenders reported that the fraud checks they undertook as part of the bounce back loan scheme application process prevented 62,380 loans with a value of £2.2bn from being loaned to potentially fraudulent businesses or individuals. No further updates are expected now that the scheme has closed.

Since 31 March 2020, businesses have borrowed over £77.1bn through the three loan schemes set up to support businesses through the pandemic.