The exact interest rate will vary depending on the specific competition, company financials and external economic conditions. Typical rates are between 3.7% and 7.4% – well below normal commercial lending rates.
From Innovate UK:
“The interest rate is fixed at 7.4% although during the availability (R&D) period and the extension (pre-commercial) period only half is payable (3.7%) and half is deferred until the repayment period.”
