Chancellor Rishi Sunak draws up fresh bailout pan for key, debt-ridden companies – The Sun

RISHI Sunak has drawn up a fresh bailout plan for key, debt-ridden companies, it was reported last night.

Firms deemed strategically important to the country may get a cash injection.

⚠️ Read our coronavirus live blog for the latest news & updates

It could include carmaker Jaguar Land Rover, as well as aviation, aerospace and steel businesses.

A source said steps would be taken to aid those whose failure could “disproportionately harm the economy”, the FT reported.

Under the plan, dubbed Project Birch, the Chancellor will help “viable companies which have exhausted all options” — but only as a “last resort”.

Treasury sources said it would not necessarily mean taking equity stakes, but it would be a loan scheme.

But experts proposed a more radical plan which would see it become a part-owner of at-risk firms.

Trade group TheCityUK estimated loans could climb above £100billion.

Ex-Treasury minister Jim O’Neill said he has also discussed creating a public sector-owned funding body to take stakes in “inherently stable” businesses.


Don't miss the latest news and figures – and essential advice for you and your family.

To receive The Sun's Coronavirus newsletter in your inbox every tea time, sign up here.
To follow us on Facebook, simply 'Like' our Coronavirus page.
Get Britain's best-selling newspaper delivered to your smartphone or tablet each day – find out more.

Source: Read Full Article