Variable Rate Loan

A flexible business loan with a variable rate

The rate may vary but the benefits don't.

Borrow from £25,001 or above, subject to approval.

Flexible loan terms from 3 months up to 25 years.

No early repayment charge, giving you the flexibility to repay your loan at anytime.

Pay back at a rate of interest that varies in accordance with the Royal Bank base rate, so your regular instalment amount may rise or fall as a result.

Changes in the Royal Bank base rate will affect the amount you need to pay to fully repay your loan. Depending on how you repay your loan any change in the Royal Bank base rate may require a review of your regular instalment amount.

Take a repayment holiday at the start or mid-term of the loan, or during a Family First event (conditions apply and you must keep paying the interest)

This business loan in detail…


Variable rate of interest

If the market rate remains low or even falls, your monthly repayment will reflect that.

No early redemption charges

If you feel you can pay back the loan quicker, you won’t incur a penalty charge.

Borrow from £25,001 upwards

Borrow from £25,001 with no maximum upper limit. (subject to credit approval)

Need a repayment holiday?

You could take a repayment holiday at the start, mid-term of the loan, or during a Family First event. How flexible is that? But be aware interest will accrue during any repayment holiday, meaning it may take longer to repay the loan and cost more in the long run.

Terms are from 3 months to 25 years

A longer term means you can lower the repayments to suit your budget (you’ll pay more back overall though).


Three repayment options

Choose the repayment option that suits you best.


Interest rate

Your interest rate will be set above the Royal Bank Base Rate. Please note that, for the purposes of interest rate calculation,where Royal Bank base rate is below zero, it will be deemed to be zero.

Arrangement Fees

Arrangement fees may apply. It will depend on how much you want to borrow and for how long.

Security Fee

Any security fee will be charged in accordance with our Security Fee tariff/policy

Useful info about our Variable Rate Loan

Get in touch to request a call back

Are you a...

Request a call back

If you have a Relationship Manager, speak to them to discuss your needs.

Or, simply tell us a little about your business and we’ll be in touch to talk through possible solutions tailored specifically to you.

Due to current high demand, it may take a little longer to process your enquiry.

This is not an online application form.


Speak to our team

Discuss your options with our dedicated team.
Lines are open 9.00am-5.30pm Monday to Friday (except public holidays). 

0345 600 2230

Due to high demand, call waiting times are longer than usual. 

Or, if you have a relationship manager speak to them to discuss your needs.

New business customer

We are here to help, there is support available and we want to get it to those who need it, but with unprecedented demand in the first instance we are processing applications from our existing customers.  You may be able to access support more quickly by contacting your current bank.

If they are unable to assist; a list of accredited providers is also available on the British Business Bank website.

Customers with hearing and speech impairments can contact us by using our Relay UK Service: 18001 0345 600 2230

For more information visit the accessibility page.

Calls may be recorded for training and monitoring purposes. To see how much your call might cost, visit the call charge information page.

Additional support for your business

What we look for when lending money

Before approving your request for funding, we need assurance that you have the ability to repay and you can keep up payments over a period of time.

Funding your business

Funding is crucial for most businesses, as an initial cash injection is often needed. You need to think about how much money you'll need and what type of funding will suit you best. 

Cashflow and collecting money

Good cashflow management is key to keeping a business afloat. We’ve got a seven-step guide to help you keep your cashflow nice and steady.

Something else we can help you with?