Guidance

Early Project Services Guarantee

Find out about our Early Project Services Guarantee: its benefits, eligibility criteria and how to apply.

From:
UK Export Finance
Published
14 November 2024
Last updated
3 March 2026 — See all updates

The Early Project Services Guarantee (EPSG) provides a guarantee to a bank making a loan to an overseas buyer to finance the purchase of design, engineering or technical services from a UK supplier for early project work such as feasibility studies, conceptual designs, and surveys. 

How it works 

Stage 1: An overseas buyer is considering starting a major project.

Stage 2: A UK professional services firm wins a contract for the project’s early design work. This could include: 

  • Feasibility and value for money studies 

  • Conceptual design 

  • Detailed design 

  • Geophysical surveys 

  • Habitat surveys 

  • Environmental surveys 

  • Human impact studies 

Stage 3: The loan is drawn down to pay the exporter for the services as they are supplied. 

Stage 4: All the services are provided. The buyer now has two years to repay the loan. Subject to approval from UKEF and the lender, the buyer may be allowed to repay the principal, in whole, at the end of the two-year period. 

If the project proceeds, and the buyer uses a UKEF Buyer Credit facility to finance it and pay off the EPSG early, the buyer will receive a pro rata premium refund on the EPSG premium reflecting the early repayment.  

Benefits 

The exporting professional services firm is paid as soon as the services have been performed, subject to the terms and conditions of the loan agreement and that loan continuing to be made available to the borrower. 

The buyer or borrower: 

  • Has up to two years to repay the loan, with that period starting after the services have been delivered 
  • Can borrow at fixed or floating rates 
  • Can make a single repayment of principal on the last day of the loan if this is allowed by the lender and UKEF 
  • Can receive a partial premium refund if a UKEF-backed Buyer Credit is used to finance both the final project and to pay off the EPSG early  
  • Can receive a non-binding indication of support for the final project 

The financial institution receives a guarantee from us for the amounts due under the loan. 

Eligibility criteria 

The transaction must satisfy UKEF’s eligibility criteria, which includes the requirements that:  

  • The supplier must be carrying on business in the UK 

  • The financial institution must be acceptable to us 

  • Once the services are delivered, the loan must be repaid within 2 years  

  • We anticipate contract values of up to £30 million. However, in some cases, we may be able to support values above £30 million 

  • The financing must relate to project services and cannot involve any physical project work. 

All transactions supported by UKEF must satisfy:  

The transaction may not be supported if there are sanctions imposed on the country of the buyer or borrower.  

The maximum amount that can be made available under the facility is 85% of the contract value. A minimum of 15% of the contract value must be paid directly to the exporter by the buyer before the facility starts to be used.  

Any offer of Buyer Credit finance for the subsequent project work is dependent on the overseas buyer meeting UKEF’s standard credit risk and due diligence and the proposed project being acceptable to UKEF. An offer of finance for the EPSG does not mean that finance for the subsequent project is guaranteed. 

Check our  country cover indicators to find out what cover is available for the country or territory you want to do business in. 

Cost 

The premium payable for our cover is determined on a case-by-case basis. 

How to apply 

UKEF works with a range of financial institutions to deliver this support. 

To find out more about a UKEF Early Project Services Guarantee or to discuss eligibility for our support, contact our customer services team.  

Contact customer.service@ukexportfinance.gov.uk or call +44 (0)20 7271 8010. 

Application form and product documentation  

Check our  country cover position, and make an application.  

More information  

Updates to this page

Published 14 November 2024
Last updated 3 March 2026 show all updates

  1. Amendments made to copy

  2. Additional note removed

  3. First published.

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