Lloyds Banking Group, Barclays, Santander, RBS and Aldermore are to take part in the government’s National Loan Guarantee Scheme.

However, HSBC is not taking part.

Details of the National Loan Guarantee Scheme will be provided by George Osborne later today.

Through the scheme UK businesses will be provided with discounted funding over the next two years, subject to continuation of the scheme and its financial benefits.

This funding will be offered to businesses with a turnover of up to £50 million, through loans, hire purchase and leasing. It will be available across the UK and to businesses across all sectors, on a first come first served basis.

Firms who take up the funding will benefit from a one percentage point discount.

The government underwrites the loans made under the scheme.

John Maltby, Group Director, Commercial, Lloyds Banking Group, said: “We are committed to supporting all viable small and medium sized business customers and have pledged to lend at least £12 billion this year. We have also made a series of promises on pricing