Surely there is no point in repaying the bounceback loan early?

[Needhelp]

The bounceback loan announced by the UK government is free for the first year and fixed at 2.5% for the next five years. Surely there is no point in repaying this loan early even if you don’t use the funds in the short term?

 

[lookingforadvice]

Even if you don't use the funds in the first 12 months, the free period, it does not make sense to repay this early. For example, if you needed any funds over the full six year period you will pay a lot more than 2.5% in the commercial market. If you can't make a return on debt costing 2.5% interest then you really need to wonder about your business acumen.