Covid-19: Supply Chains

Baroness Northover Excerpts

Monday 22nd June 2020 Lords Chamber

[Baroness Bloomfield of Hinton Waldrist]

I am grateful to the noble Lord for his question and for giving me advance sight of it, since I do not think that I would have heard of that measure had he not done so. The Government have announced unprecedented support for businesses and workers. These measures include an uncapped package to help firms keep people in employment, deferred tax payments, business rate holidays, small business grants and commercial property mortgage holidays. In any situation where a main contractor becomes insolvent, the immediate focus will be on continuity of service, including by the incumbent contractor or its supply chain. Contracting authorities would first look to the terms of their contracts; they may have step-in rights, direct agreements or collateral agreements which allow them to engage directly with the supply chain behind the insolvent contractor. There are also provisions in UK procurement law—specifically, Regulation 72 of the Public Contracts Regulations 2015 —to allow replacement of an insolvent contractor.

[Baroness Northover (LD) [V]]

My Lords, with the downgrading of DfID, how do the Government now plan to enhance the rights of the many vulnerable women and girls working in supply chains, or the Dalits of both sexes in south Asia?

[Baroness Bloomfield of Hinton Waldrist]

I do not accept the premise of the noble Baroness’s question; I do not believe that the role of DfID has been downgraded. As she knows, this Government have been foremost in stopping modern slavery outrages around the world, and we will continue to do that within the context of a combined department.