© Matheus Bertelli

The UK government has launched its new business loans scheme today, offering up to £50,000 interest-free for a year.

Small creative businesses in all sectors of the UK economy will be able to apply for the loans as of today, borrowing between £2,000 to £50,000.

The launch of the new scheme comes as the economic damage to the film industry takes its toll, and companies furloughing staff look to make redundancies as the lockdown drags on.

Despite the difficult circumstances for the entertainment industry, demand for TV and film content has never been so high, and it is anticipated that productions will slowly get back to normal in the coming months ahead - albeit with social distancing measures in place.

Creative businesses of all types will be eligible for the loan, and can make their application from today, with the loan being paid in just a matter of hours or days - depending on the circumstances.

The government is also providing an unprecedented 100% guarantee on the loans so that banks can lend without restrictions to those businesses.

With cinemas shut, productions halted, and workers staying at home, the film industry has been one of the hardest hit sectors in the UK economy. This also includes events, film festivals and other entertainment shows throughout the calendar year.

The National Chair of the Federation of Small Businesses praised the government's move and said:

“We know many small firms have struggled to secure small loans speedily. We are pleased that the Chancellor has listened, and swiftly developed this new scheme for small businesses to access finance quickly, interest-free for the first year and at an affordable fixed interest rate for the remainder.”

After the scheme went live at 9am this morning, more than 200 applications were made within the first 60 seconds.

To make your application, log on to the UK government’s loan scheme website for businesses.