What is UK Export Finance (UKEF) and the General Export Facility?

UKEF is the UK government's export credit agency. The General Export Facility (GEF) is a guarantee scheme where UKEF backs up to 80% of bank lending to UK exporters whose normal facility doesn't stretch to cover export working capital. Fills the gap where commercial banks won't lend, particularly for higher-risk markets (parts of Africa, Latin America, Central Asia). Free advice via great.gov.uk/uk-export-finance.

What this means for your business

In practice, UKEF's General Export Facility helps a UK SME exporter who has run out of headroom on its existing bank facility to fund the working capital needed to fulfil an export order. Rather than lending directly, UKEF provides a guarantee to the bank, covering up to 80% of the amount lent, which makes the bank more willing to extend additional credit than it would on a purely commercial basis.

This is particularly useful when the buyer or destination market carries a level of risk that a bank would otherwise decline to underwrite alone, such as parts of Africa, Latin America or Central Asia. The exporter applies through its existing bank, with UKEF's support sitting behind the scenes rather than being a separate loan.

It does not replace invoice finance or asset-based lending, but can work alongside them where export-specific working capital is the gap. Free guidance is available before applying.

Key points

Common pitfalls

A common mistake is assuming UKEF lends directly to the business. It does not; the exporter must go through a participating bank, and the GEF only works if that bank is willing to extend the facility with UKEF's guarantee behind it. Businesses sometimes also underestimate how much documentation and export contract detail the bank will need before approving the extra facility.

It is worth checking early whether existing invoice finance or asset-based lending arrangements can sit alongside a GEF-backed facility, rather than assuming one replaces the other, and taking the free UKEF guidance before applying to avoid wasted time on an unsuitable route.

Related questions

Can a business use the General Export Facility alongside invoice finance?

Yes, the GEF is designed to sit alongside existing facilities rather than replace them, since it specifically targets the working capital gap left once normal lending, including invoice finance, has been used up. The exporter's bank will assess how the two fit together as part of the application.

Does UKEF charge for the General Export Facility guarantee?

UKEF's guarantee reduces the risk to the lending bank, but the bank still sets its own commercial terms, including any fees or interest, for the facility it extends. Exact costs vary by bank and by the risk profile of the export deal, so businesses should compare terms as they would with any commercial facility.

Who is eligible to apply for the General Export Facility?

The GEF is aimed at UK-based exporters whose current bank facility does not cover the working capital needed for an export contract. Eligibility and the size of guarantee offered are ultimately decided by UKEF and the participating bank on a case-by-case basis.

AP

Adam Parker

Founder & Managing Director, Muswell Rose, founder and PSC of Best Business Loans Ltd

Adam is the founder and managing director of Muswell Rose and a founder of Best Business Loans Ltd, the company behind Market Invoice. He spent over three years as managing director of Penny, a UK invoice finance business, and his career runs through insurance, mortgages, commercial finance and fintech lending. He writes the Market Invoice library.

Last reviewed: 12 August 2026

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