This article examines the types of government loans available in the UK and tells you how to apply for them.
What types of government loans are there?
What are government loans and why are they granted?
Government loans come in many forms and can be arranged for many reasons. The government gives loans because the activities which they promote and help are crucial to developing a strong and stable economy. Business loans help to create jobs and bring more money into the country. Education finance can help towards the cost of training and professional development which in turn creates the best professionals which become an asset to their country. The government also fulfils a lot of its business regulations through business finance loans and student financing. Governments are under the international obligations and pressures to provide the best opportunities for its citizens and this is just one way in which the government can do this. Business loans
Getting a business loan from the government is not difficult. The government makes some loans guaranteed, which means that if you meet all the criteria, your business start up loans could be just around the corner. The government has a guaranteed loan scheme which you can organise through your bank or loan company. The government in this case guarantees to be your security so that you can apply for a business loan without having to place securities which you may not own. There are also other loans available for financing machinery, upgrading tools, subsidies for renting premises, loans for business or legal advice, and much more. Student loans
Student finance is provided in three main forms by the government agencies. You can apply for a tuition fee loan which covers the costs of tuition fees at your establishment. You can also apply for maintenance finance which consists of two schemes, a maintenance loan which you must pay back and a maintenance grant which you do not have to pay back.
Where to find out more information...
Local business centre The best place to find out more information about government loans is to go to your local business centre or to a bank where staff can explain all about the guaranteed schemes, or any other scheme the government may be backing. Contact your local chambers of commerce and small business groups as they will be able to refer you to sources very quickly and easily - probably faster than researching yourself. The Student Loans company and Student Finance Direct They are responsible for the higher education (i.e. university or above) funding in the UK. They have information both on their website and on informational materials and packs which can be read in local libraries, educational offices and advice centres.