HI

The primary purpose is to keep businesses afloat by providing a cash advance primarily for working capital purposes.

If it’s repaying lending from the same lender I would doubt that the government guarantee would be capable of extending to existing borrowings.

If it was to pay off loans from other parties then maybe as a way of restructuring all loans and security to aid your bank to provide new facilities but even then I would doubt that would be permissible under the scheme unless the amounts were for a relatively small proportion of the new funding request.

No harm is asking that question of your bank before submitting application.