Data Update · Growth Guarantee Scheme
Growth Guarantee Scheme: June 2026 update
A refresh of the Growth Guarantee Scheme data underpinning “Innovation in government loan guarantees” using the British Business Bank’s newly published 30 June 2026 data: one new lender, one merger, and six months of settlement-rate drift by lender type.
The British Business Bank (BBB) published its next quarterly Growth Guarantee Scheme (GGS, including RLS iteration 3) performance dataset on 18 August 2026, covering the period to 30 June 2026.1 This note refreshes Figure 3 of the main briefing with the new quarter and explains, as requested, exactly what the “average” figures in that table do and don’t represent.
What’s changed in the lender roster
The scheme now has 69 accredited lenders, up from 68 in March 2026, but that net change of one is made up of two distinct events, not one new arrival:
- Merger. Nationwide Building Society now reports the GGS book previously reported under Clydesdale Bank Plc, following Nationwide’s acquisition of the Clydesdale/Virgin Money business. BBB’s own note on the June 2026 data confirms the scheme loans were transferred within its portal in April 2026 and first reflected in this quarter’s figures.
- New entrant. Propel Finance appears for the first time, with a single facility worth £0.09m. This analysis places it in “Asset / specialist finance”.
Figure 1: Growth Guarantee Scheme, 30 June 2026
| Lender type | No. of lenders (Jun 26) |
Avg loan value (Jun 26) |
Settlement rate (%) | |||||
|---|---|---|---|---|---|---|---|---|
| Dec 24 | Jun 25 | Sep 25 | Dec 25 | Mar 26 | Jun 26 | |||
| Clearing / major bank | 8 | £343,961 | 0.24% | 0.56% | 0.57% | 0.66% | 0.79% | 0.92% |
| Challenger bank | 7 | £309,298 | 0.15% | 0.14% | 0.15% | 0.21% | 0.26% | 0.37% |
| Asset / specialist finance | 17 | £148,814 | 0.60% | 1.05% | 1.34% | 1.51% | 1.65% | 1.91% |
| Fintech lender | 3 | £83,330 | 0.74% | 2.41% | 3.39% | 4.44% | 5.49% | 6.52% |
| CDFI (community development financial institution) | 18 | £104,399 | 0.92% | 2.07% | 2.78% | 3.19% | 4.00% | 4.34% |
| Regional Investment Funds | 16 | £243,021 | 1.56% | 2.82% | 3.70% | 4.42% | 5.54% | 6.49% |
| Total | 69 | £172,742 | 0.54% | 1.14% | 1.44% | 1.69% | 1.96% | 2.25% |
Note: data for Sep 2024 and Mar 2025 is not available on the BBB website. Figures show settled amount as a proportion of facility value.
Source: BBB data, extracted 18 August 2026.
Settlement rates rose in each of the six lender types this quarter. Clearing and challenger banks remain far below every other category, at 0.92% and 0.37% respectively, despite carrying the largest share of drawn value between them (£1.87bn of the £3.96bn total).
Figure 2 plots, for each lender type, the range from the lowest- to the highest-settlement individual lender at June 2026, together with both averages: the value-weighted figure used in Figure 1 above, and a simple, unweighted mean across each lender in that type.
Figure 2: Settlement rate range by lender type, June 2026, weighted vs. simple average
In four of the six lender types (Challenger bank, Asset / specialist finance, CDFI and Regional Investment Funds), the simple average sits above the weighted average, because a number of smaller, higher-settlement lenders pull the unweighted mean up further than their share of drawn value would justify. CDFI lenders average 5.90% per lender but only 4.34% by value; Regional Investment Funds average 7.91% per lender but only 6.49% by value. Fintech lenders show the opposite pattern (weighted 6.52% vs. simple 4.43%): Funding Circle dominates the value-weighted figure. Clearing banks show the same pattern on a much smaller scale (weighted 0.92% vs. simple 0.73%).
Source: SDWH Limited analysis of British Business Bank lender-level GGS data, 30 June 2026.
| Lender type | No. of lenders | Min % | Min % – lender | Max % | Max % – lender | Weighted avg % | Simple avg % |
|---|---|---|---|---|---|---|---|
| Clearing / major bank | 8 | 0.00% | Bank of Scotland plc | 3.05% | Nationwide Building Society | 0.92% | 0.73% |
| Challenger bank | 7 | 0.00% | Arbuthnot Latham & Co Ltd | 3.93% | Aldermore Bank Plc | 0.37% | 1.31% |
| Asset / specialist finance | 17 | 0.00% | Growth Finance Fund LP | 16.06% | Newable Business Loans Ltd | 1.91% | 2.80% |
| Fintech lender | 3 | 1.92% | Merchant Money Ltd | 6.83% | Funding Circle | 6.52% | 4.43% |
| CDFI | 18 | 0.00% | Business Finance Cumbria | 33.33% | GC Business Finance | 4.34% | 5.90% |
| Regional Investment Funds | 16 | 0.00% | MEIF – Maven East & SE Midlands | 22.71% | MEIF – ESEM SBL LP | 6.49% | 7.91% |
The 33.33% maximum for CDFI lenders is GC Business Finance, whose drawn book (£1.23m, 5 facilities) has been completely static since the series began in December 2024.
Methodology note
Avg loan value in Figure 1 is value-weighted: total drawn £m for all lenders of that type, divided by their total facility count. It is not the average of each lender’s own average loan size; a type with a few very large facilities is pulled upward even if most individual lenders in it write much smaller loans.
Settlement rate in the same table is also value-weighted: total settled £m divided by total drawn £m for the type as a whole. It is not a simple, unweighted average of each individual lender’s own settlement percentage; a £500m clearing bank and a £0.2m CDFI do not count equally.
SDWH Limited is a management consultancy registered in England and Wales (company number 17048595). This briefing note is produced by SDWH Limited for general information. It does not constitute regulated financial advice and SDWH Limited is not authorised or regulated by the Financial Conduct Authority.
While SDWH Limited has taken reasonable care to ensure the accuracy of the information contained in this briefing, no warranty or representation, express or implied, is given as to its accuracy, completeness or fitness for any particular purpose. The briefing is based entirely on publicly available information and has not been independently verified or audited.
The information in this briefing is provided as at the date of publication. SDWH Limited undertakes no obligation to update this briefing or to correct any inaccuracies which may become apparent after publication.
1. British Business Bank: “GGS (including RLS iteration 3) performance data as at 30 June 2026”, published 18 August 2026. british-business-bank.co.uk › ggs-including-rls-iteration-3-performance-data-30-june-2026
2. Financial Times: “British Business Bank’s small business loans hit £4bn”, published 26 August 2026.