Coronavirus 27 April 2020 Sunak announces small businesses "microloan" scheme, government to pay interest for 12 months Sign UpGet the New Statesman's Morning Call email. Sign-up Chancellor Rishi Sunak has unveiled a new "microloan" scheme for small businesses that will see the government pay the first 12 months' interest on loans of up to £50,000. The "bounce back loans" will let businesses borrow 25 per cent of their turnover up to a maximum of £50,000. As well as paying the interest for a year, the government will fully guarantee the loans, he said. The loans will be available from banks starting 9am next Monday, 5 May. Most firms will receive their money within 24 hours, he said. "There will be no forward-looking tests of business viability; no complex eligibility criteria; just a simple, quick, standard form for businesses to fill in," Sunak said. New Statesman political editor Stephen Bush believes Sunak's decision to give small businesses guarantees that he hasn't given larger ones is a big hint at where he’ll take British fiscal policy after the crisis. You can read his full analysis here. › Rishi Sunak doubles down on his coronavirus loans – and gears up to argue for austerity Image credit: Peter Summers / Stringer Subscribe For more great writing from our award-winning journalists subscribe for just £1 per month!