Bank of England Term Funding SME (TFSME) 2020

In March 2020, the Bank of England announced the introduction of a Term Funding Scheme with additional incentives for SMEs (the "TFSME"). The TFSME draws parallels with the Term Funding Scheme ("TFS") and the Funding for Lending Scheme ("FLS"). The TFSME was intended to help ensure the transmission of the then reduction in the Bank Rate to the real economy by, among other things, providing participants with a cost-effective source of funding to support additional lending to small and medium-sized enterprises ("SMEs"). Participants in the Term Funding Scheme ("TFS") launched by the Bank in 2016 were permitted to repay TFS drawings and redraw under the TFSME, subject to meeting certain terms and conditions. Drawdowns were available until 30 April 2021 for terms up to four years.