Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, on which dates the covid-19 loan scheme counter-fraud strategy board has met.
Answered by Paul Scully
The Covid-19 Counter Fraud Strategy Board has met on the following dates:
19-10-2020
03-11-2020
16-11-2020
30-11-2020
14-12-2020
11-01-2021
25-01-2021
08-02-2021
22-02-2021
08-03-2021
22-03-2021
08-04-2021
19-04-2021
04-05-2021
17-05-2021
14-06-2021
28-06-2021
26-07-2021
23-08-2021
04-10-2021
01-11-2021
06-12-2021
13-01-2022
07-02-2022
07-03-2022
04-04-2022
03-05-2022.
Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, whether companies that have been sanctioned by the UK or are owned by people who have been sanctioned by the UK in relation to Russia's invasion of Ukraine received loans through (a) the bounce back loan scheme, (b) the coronavirus business interruption loan scheme, (c) coronavirus large business interruption loan scheme; and if he will publish details of those companies.
Answered by Paul Scully
In order to be eligible for the Coronavirus Business Interruption Loan Scheme, the Coronavirus Large Business Interruption Loan Scheme or the Bounce Back Loan Scheme, a business was required to be trading in the United Kingdom.
The Coronavirus Business Interruption Loan Scheme, the Coronavirus Large Business Interruption Loan Scheme and the Bounce Back Loan Schemes are delegated schemes, where customer relationships are managed by accredited lenders. We do not hold information on whether any loan recipients of these schemes have received subsequent sanctions.
Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, how many companies owned by Russian nationals or with significant links to Russia received (a) bounce back loans, (b) coronavirus business interruption loans, or (c) coronavirus large business interruption loans; and if he will publish details of those companies.
Answered by Paul Scully
In order to be eligible for the Coronavirus Business Interruption Loan Scheme, the Coronavirus Large Business Interruption Loan Scheme or the Bounce Back Loan Scheme, a business was required to be trading in the United Kingdom.
The Coronavirus Business Interruption Loan Scheme, the Coronavirus Large Business Interruption Loan Scheme and the Bounce Back Loan Schemes are delegated schemes, where customer relationships are managed by accredited lenders. We do not hold data on whether recipients of borrowing via the schemes are Russian nationals or have registered interests in the Russian Federation.
Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, with reference to the oral contribution of the Paymaster General of 1 February 2022, Official Report, column 160, that the estimate of fraud in the bounce back loan scheme had been revised down from £4.9 billion to £3.3 billion, if he will publish the methodology used to produce that revised figure.
Answered by Paul Scully
The Department’s 2020-2021 Annual Report and Accounts (ARA) estimates a loss of £4.9 billion relating to the Bounce Back Loan Scheme (BBLS) because of fraud. This is based upon the sampling exercise work undertaken by PricewaterhouseCoopers (PwC) in 2020, details of which are set out in the ARA. The fraud and error estimate for the scheme, it was concluded, ranges from £3.6 billion to £6.3 billion, with the central estimate value being £4.9 billion (11.15%) of loan facilities.
More recent information from PwC suggests a reduction in the central BBLS fraud estimate to 7.5%. This estimate requires further verification as our work with lenders and government agencies to identify fraudulent loans continues.
Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what (a) discussions and (b) correspondence his Department has had with the National Crime Agency on the issue of fraud in respect of the coronavirus business support schemes in each of the last three months.
Answered by Paul Scully
The Department has been in correspondence with the National Crime Agency on the issue of fraud in respect of the coronavirus business support schemes on several occasions on each of the last three months. The details of the correspondence cannot be disclosed as this may prejudice live or future investigations. The Department continues to work closely with the NCA and other law enforcement agencies to tackle serious fraud and other criminality.
Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, how much his Department spent on tackling fraud in coronavirus business support schemes in (a) 2020 and (b) 2021.
Answered by Paul Scully
It is difficult to put a figure on the total being spent on tackling Covid fraud as our response involves the contribution of many partners organisations.
Funding for subsequent years will be determined through the current Business Planning Process.
Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, how many officials in his Department worked on preventing fraud in the coronavirus business support schemes in each month since April 2020.
Answered by Paul Scully
The resource BEIS deployed in counter fraud was proportionate to the level of fraud risk.
Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if his Department will publish any strategy it has produced for recovering fraudulent loans made as part of the coronavirus business support schemes.
Answered by Paul Scully
The National Audit Office follow-up report into the Bounce Back Loan Scheme recommended the Department produces a formal strategy that sets out the longer-term ambitions, objectives and metrics for the impact of successful counter-fraud activity. We are considering the recommendation and will respond in due course.
Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, whether his Department produced a strategy for preventing fraud in the coronavirus business support schemes.
Answered by Paul Scully
The National Audit Office follow-up report into the Bounce Back Loan Scheme recommended the Department produces a formal strategy that sets out the longer-term ambitions, objectives and metrics for the impact of successful counter-fraud activity. We are considering the recommendation and will respond in due course.
Asked by: Abena Oppong-Asare (Labour - Erith and Thamesmead)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department plans to take to support the development of the UK’s hydrogen sector; and whether he has made an assessment of the steps the Government can take to support hydrogen-based steelmaking in the UK.
Answered by Anne-Marie Trevelyan - Minister of State (Foreign, Commonwealth and Development Office)
My Rt. Hon. Friend the Prime Minister’s 10 Point Plan was clear on our aim for 5GW of low carbon hydrogen production capacity by 2030 for use across the economy. The forthcoming Hydrogen Strategy will set out what is required to build a hydrogen economy fit for 2030, Carbon Budget 6 and beyond, whilst maximising economic benefits. We will also consult on priority policies, including hydrogen business models, a low carbon hydrogen standard, and the £240m Net Zero Hydrogen Fund.
The Industrial Decarbonisation Strategy, published on 17 March, commits to work with the newly constituted Steel Council to consider the implications of the recommendation of the Climate Change Committee to ‘set targets for ore-based steelmaking to reach near-zero emissions by 2035’. Hydrogen-based steelmaking is one of the technological approaches being examined as part of this process.
In order to support these efforts, the Government has announced a £250 million Clean Steel Fund to support the UK steel sector to transition to lower carbon iron and steel production, through investment in new technologies and processes. The decarbonisation of the steel sector and industry more widely will also be supported through the £1 billion CCUS Infrastructure Fund (CIF) and the £240m NetZero Hydrogen Fund.