A PACKAGE of government-backed loans worth £330bn will be available to help businesses get through the coronavirus crisis, the chancellor has announced.

Rishi Sunak said the “unprecedented package” – equivalent to 15 per cent of GDP – could go further if demand is greater, and vowed to do “whatever it takes” to help the economy.

The Chancellor, speaking at a press conference inside 10 Downing Street, also said he was extending the business rates holiday to all businesses in the hospitality sector and funding grants of up to £25,000 for smaller businesses.

Reacting to the news, Ian Girling, chief executive of Dorset Chamber, said: “There’s no doubt the situation is extremely serious.

“I think we should be pleased to see the government move so quickly and taking these steps.

“What is going to be really important is accessing these schemes with minimum red tape. They need to be available now.”

Mr Girling said they are keeping a report of issues businesses are experiencing and are feeding them through to government.

“It is a very troubling situation,” he continued.

“It is really important that businesses work together and help each other. They need to pay their bills on time and keep moving money around the economy.

“The Chamber will do all it can to help.”

The announcement comes as confirmed cases rose to 1,950 in the UK, up from 1,543.

Martin Davies of Bournemouth Town Centre BID, said the loans were really encouraging, but also reiterated that the money needed to be available now.

He said: “It shows the government understand the depth of the problems that businesses are facing.

“Businesses have rent to pay, have wages to pay, it’s about how quickly they get the money.

“The worst case scenario is jobs disappearing which don’t come back and then you just create issues of structural unemployment.

“When the recovery comes, we need a business community to expand back in to.”

Mr Davies said he was more impressed with the Chancellor’s statement than any other politician for some time.

“All they have to do is do it quickly.” He added.

Chancellor Sunak also said people struggling financially in the crisis will be given a mortgage holiday of three months.

He said: “We are well prepared. We will get through this and we will do whatever it takes.”

As of 9am on March 17, the BCP Council area had six confirmed cases while the Dorset Council had two.

However, the government’s chief scientific adviser said around 55,000 people in the UK now have COVID-19, as the NHS moved to cancel all non-emergency surgery and 71 people are now known to have died.

Sir Patrick Vallance told MPs it is hoped the death toll can be kept to under 20,000 as he told of the huge amount of strain the health service will be under from the virus.

Chancellor Sunak added: “This is not a time for ideology and orthodoxy, this is a time to be bold, a time for courage.

“I want to reassure every British citizen this Government will give you all the tools you need to get through this.”