Alternative Investment Fund Managers Regulations 2013
Debate between Baroness Penn and Baroness Altmann(5 months, 2 weeks ago)
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Baroness Altmann
To ask His Majesty’s Government what assessment they have made of the impact of disclosure obligations under the Alternative Investment Fund Managers Regulations 2013 on UK-listed investment companies, in terms of competition, consumer duty, exclusion from investor platforms, and funding crisis for such companies investing in UK small growth businesses, renewable energy and infrastructure.
The Parliamentary Secretary, HM Treasury (Baroness Penn) (Con)
My Lords, the Government and the Financial Conduct Authority understand industry concerns regarding investment company cost disclosure requirements. The issue sits across multiple areas of legislation and we are working at pace to repeal retained EU law under the smarter regulatory framework, enabling the FCA to deliver UK-tailored rules. On the alternative investment fund managers directive specifically, work has already started on plans for reform, with a discussion paper issued by the FCA in February.
Baroness Altmann (Con)
I thank my noble friend. However, does she recognise that an important UK financial sector is being undermined by selling pressure based on exaggerated reported charges figures? These listed, closed-ended investment companies and their institutional investors support British companies in areas including battery storage and wind and solar farms, and offer particularly suitable vehicles for pension funds and other investors in sustainable growth. However, they are deterred by misleading aggregated costs, including by retail investor platforms. Has the Minister’s department urged emergency action following FCA failure to protect the market stability, international competitiveness, fair competition and the consumer duty?
Baroness Penn (Con)
My Lords, I agree with my noble friend in recognising that investment trusts play a vital role in raising capital for infrastructure projects across the UK. The FCA is of course independent, but I understand that it is taking forward work to look at what can be done in this area while we take forward the wider programme of measures to repeal retained EU law and replace it with UK rules that will help to address the issue that she raises.
Baroness Penn (Con)
My noble friend is absolutely right. The Government consulted extensively when the Alternative Investment Fund Managers Regulations were introduced. That was some time ago but, as part of the smarter regulatory framework, we are working closely with the FCA to explore what changes can be made to AIFMD to make it more streamlined and tailored to UK markets. I assure all noble Lords that that work is being taken forward with urgency.
Baroness Altmann (Con)
My Lords, may I press my noble friend? She says the FCA has regulatory powers for forbearance. Given that this is EU-derived legislation that has been misapplied in the UK, no EU country adopts it, no other country in the world adopts it and it is uniquely disadvantaging British companies, is there not a case for emergency action from the FCA once it is aware of this particular problem?
Baroness Penn (Con)
My Lords, the FCA can apply forbearance when it comes to its rules, but it cannot when it comes to the law; it is for this House to amend the law. I set out that the Government intend to look at the various pieces of underlying EU legislation, including PRIIPs and MiFID, to ensure we address the underlying problem as well as applying forbearance while that work is under way.
Financial Services and Markets Bill
Debate between Baroness Penn and Baroness AltmannMonday 6th February 2023
(1 year, 2 months ago)
Grand CommitteeRead Full debate Financial Services and Markets Act 2023 View all Financial Services and Markets Act 2023 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 80-IV(b) Amendments for Grand Committee (Supplementary to the Fourth Marshalled List) - (6 Feb 2023)
Baroness Penn (Con)
My Lords, the concept of a duty of care in financial services may be different to the concept of a duty of care in other contexts. This was considered very carefully and consulted on by the FCA in 2019 and in 2021. It considered these questions and the issues we have discussed in the Committee today.
Baroness Altmann (Con)
I thank my noble friend for giving way. On these consultations, did the financial services companies generally respond not wishing to have the right of redress? Were the consumer organisations in favour of it?
Financial Services and Markets Bill
Debate between Baroness Penn and Baroness AltmannMonday 30th January 2023
(1 year, 3 months ago)
Grand CommitteeRead Full debate Financial Services and Markets Act 2023 View all Financial Services and Markets Act 2023 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 80-III Third marshalled list for Grand Committee - (30 Jan 2023)
Baroness Penn (Con)
I note that it is a voluntary body. I do not have the list of those who have signed up to it to hand. If it differs from those outlined by the noble Baroness, I will write to the Committee, but she may well have listed those who have signed up to it. I note, however, that the combination of that service, and the scale of those involved in it, with the ability to go to the Financial Ombudsman Service means that research suggests that more than 99% of UK businesses can access independent dispute resolution. We should look at the size of the customer base as well as the number of organisations signed up to such dispute resolution mechanisms. I will write to the noble Lord, Lord Sharkey, on the number of cases taken by the organisation.
Baroness Altmann (Con)
I thank my noble friend for giving way, but perhaps I could press her a little more on the effectiveness of the Financial Ombudsman Service in providing a deterrent against poor practice in the areas where we have seen it in the past. The noble Baronesses, Lady Bowles and Lady Kramer, and the noble Lord, Lord Sharkey, have outlined instances of banks not treating their customers well. Does my noble friend agree that having a statutory duty written into the legislation would be much more of a deterrent against the behaviour we have seen than the potential threat of someone going to the Financial Ombudsman Service?
Baroness Penn (Con)
That is one element to be considered. I was pointing in particular to the combined role of the FOS and the Business Banking Resolution Service in providing a route of redress for over 99% of businesses. In part, it comes back to my question in relation to Amendment 40 from the noble Lord, Lord Sharkey, on the Government’s commitment to regulating business lending only where there is a clear case for doing so, given some of the increased costs that bringing SME lending into regulation would bring. I return to the point that we currently have a consultation out on the Consumer Credit Act in which there is a question on business lending; the Government are considering this through that consultation.
With that, I hope that the noble Lord, Lord Sharkey, will withdraw Amendment 40 at this stage—
Baroness Penn (Con)
As I hope I was setting out for the noble Lord, Lord Sharkey, there are different definitions of businesses that can have different protections and routes of redress within a system of small business lending. The system that we have is aimed to be proportionate, focusing on the smallest SMEs which are at the most risk. On the difference between the voluntary measures that are in place and bringing it within the regulatory perimeter, we are not saying that those are entirely equivalent protections but that they are proportionate protections to the risks faced by those firms. I set out different thresholds in my answer in relation to both those businesses that are protected under the Consumer Credit Act, which are sole traders, loans under £25,000 and a few others there, and businesses that are able to access either the FOS or the Business Banking Resolution Service. There are other thresholds too. Therefore I appreciate the point that that is different from the definition of a SME that the noble Lord asked about. The system is designed to be proportionate to the size of the SME and the protections it affords to them as regards business lending.
Baroness Altmann (Con)
I thank my noble friend for giving way once again. This is an important area for the whole financial services framework that we have in this country. I think that the noble Baroness, Lady Bowles, the noble Lord, Lord Sharkey, and my noble friend Lord Holmes are all trying to press the Minister on the issue of protection before scandals happen so that our system can be trusted more. The point here is about deterring financial institutions from even trying to undertake these actions by having stronger regulatory protection upfront, rather than this or that right of redress after the event has happened.
Baroness Penn (Con)
I understand my noble friend’s point, and of course the Government also consider that when we look at what to bring into the regulatory perimeter or the right of redress, both as a route of redress and as a point of deterrence. The Government take all those factors into account when considering this question.
UK Green Taxonomy
Debate between Baroness Penn and Baroness Altmann(1 year, 6 months ago)
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Baroness Penn (Con)
The noble Lord is absolutely right that, to be most useful, having international agreement on a taxonomy is essential. The Government have supported the development of international standards in this area: for example, we have worked with the International Sustainability Standards Board to ensure that there is international alignment on the work in these areas.
Baroness Altmann (Con)
My Lords, I also welcome my noble friend back to the Front Bench. I echo the calls for us to urgently release the information on the green taxonomy. Could my noble friend please confirm that the Government remain committed to a green taxonomy that is science-led? Could she also confirm the position regarding natural gas as a transition fuel, given concerns about the security of the energy supply in the short term?
Baroness Penn (Con)
I assure my noble friend that we will be led by science in this area. Earlier in this Question, noble Lords referred to the work of the Green Technical Advisory Group, which was set up to advise the Government on the UK green taxonomy and is informing our work in this area. There is a question about the inclusion of both gas and nuclear in the green taxonomy. The Government have not made any decisions on their inclusion, but they will engage with experts and the market before making any final decision in this area.
Crypto Asset Technology
Debate between Baroness Penn and Baroness Altmann
Baroness Altmann (Con)
My Lords, given the cybersecurity and the anonymous and open nature of risks in blockchains, this seems to be rather inconsistent with money laundering rules in the rest of the financial system. Can my noble friend comment on inconsistencies in the environmental protection issues that this Government have worked so hard to achieve, given the environmental dangers of the proof-of-work cryptocurrency development and the risk to consumers, even in stablecoins?
Baroness Penn (Con)
My noble friend is right about the risks around money laundering and illicit finance. That is why crypto assets were brought within the anti-money laundering regime a few years ago. She is also absolutely right that some crypto assets can have a significant environmental impact. It is about the method by which they are generated or proved, and that is something we will consider as part of our consultation later this year.
Tax Cuts: Fiscal Impact
Debate between Baroness Penn and Baroness Altmann
Baroness Altmann (Con)
My Lords, does my noble friend agree that there would be widespread opportunity for cutting taxes for millions of people across the country if the tax base was widened, such as by taxing large online companies or being rather less generous on offshore taxation? There is also the potential for reform of council tax and business rates, which could bring in more revenue.
Baroness Penn (Con)
My Lords, the Government have taken a number of initiatives in the areas that my noble friend refers to, including the reform of business rates and looking at an online sales tax. She is right that, as our economy changes, we must always look at how our tax system can keep up with it. On tax cuts, the most recent tax change brought in by this Government happened this month, the largest ever increase in a personal tax starting threshold, which took an additional 2.2 million people out of paying class 1 and class 4 national insurance contributions.
Insurance Industry: Travel Premiums
Debate between Baroness Penn and Baroness Altmann
Baroness Penn (Con)
I think I have explained one action that the regulator has already taken in respect of this question, on the signposting agreement that came into place in April last year. The FCA has also acted on general insurance pricing practices, where it was found that existing customers renewing their insurance were being charged unfair rates so that insurers could offer new deals to people who were prepared to move. As I said, the FCA has taken action on that front. Since 1 January 2022, new rules have been in place. As I also said, the Government have the Financial Inclusion Policy Forum, bringing together market operators and the regulator to look at questions of financial inclusion and see what we can do. The Government publish an annual report on the action taken within that forum.
Baroness Altmann (Con)
My Lords, I am conscious that my noble friend finds herself in a difficult position—it is usually for the regular and the industry itself to behave appropriately. Have the Government asked the regulator to make inquiries about the pricing of insurance? It is notoriously opaque in justifying risk margins, profit margins and the ways pricing structures are determined. It sometimes feels like a free-for-all in the market.
Baroness Penn (Con)
As I just pointed to, a quite significant reform was put in place in January this year regarding general insurance pricing practices. These measures are intended to improve the way that insurance markets function and reduce harm for consumers affected by price walking. We want to see how those reforms operate and bed in over time, but I gave a commitment to the noble Lord, Lord Sharkey, to communicate with the FCA about its assessment of the market in relation to age. I will get back to noble Lords.
Court of Justice of the European Union: Comprehensive Sickness Insurance
Debate between Baroness Penn and Baroness Altmann
Baroness Penn (Con)
I can reassure the noble Baroness that comprehensive sickness insurance is not a requirement to gain pre-settled status or settled status under the EU settled status scheme. We are looking carefully indeed at all the other implications of the judgment.
Baroness Altmann (Con)
My Lords, I realise that this is a very difficult question, but would the Government agree to an inquiry into the private health insurance requirements and their impact on those EEA citizens who are exercising their freedom of movement in the UK?
Baroness Penn (Con)
Of course, for the vast majority of EU citizens exercising their freedom of movement rights previously under EU law, comprehensive sickness insurance was not a requirement. It is also the case that the comprehensive sickness requirement has been tested in courts before in the UK and found to be completely lawful. As I have said, we will look very carefully at the implications of this judgment and update Peers as we have more information, to ensure they are kept abreast of what the Government are doing on this matter.
Financial Conduct Authority: Financial Inclusion
Debate between Baroness Penn and Baroness Altmann
Baroness Penn (Con)
I do not recognise the picture which the noble Lord paints. Our banks and financial services provide an essential service to people up and down the country. They were one of our essential partners in distributing the support we provided to businesses through bounce-back loans and other support packages throughout the pandemic. Yes, there have been certain problems in certain areas, which is why the Government are taking action—for example, on anti-money laundering legislation and counterterrorist financing legislation. I am afraid to say that I just do not agree with the noble Lord.
Baroness Altmann (Con)
My Lords, given that there is a significant amount of in-work poverty, will the Minister join with me in congratulating those employers who are working to assist their workforce to access low-cost loans and debt repayments via salary deduction? Might the Minister also consider encouraging some of the financial firms to make financial education more widely available in the workplace, given that many have not had the benefit of this education in schools?
Investments: Environmental, Social and Governance Criteria
Debate between Baroness Penn and Baroness Altmann
Baroness Penn (Con)
On the point about co-operation with the United States, I will have to check and write to the noble Lord. On the FCA, in addition to developing this consumer-facing label so that people can, with transparency, understand what they are investing in, it is also looking at the question of regulating the firms and providers that look at ESG ratings and providing that information also.
Baroness Altmann (Con)
My Lords, I commend the Government on their commitment to green finance and on encouraging sustainable investing. Following on from the previous Question by the noble Lord, Lord Haskel, will the Minister tell us what assessment the Government have made of the impact in terms of climate change of the so-called mining of cryptocurrencies like bitcoin, which, in itself, seems to have caused more greenhouse gas emissions per annum than many countries over the last year or two? Are the Government concerned about the sustainability of crypto from that perspective?
Baroness Penn (Con)
The noble Baroness is absolutely right. We are aware of the huge energy use that can be involved in these currencies. The UK is developing a green taxonomy, which will make us the first country in the world to make disclosures aligned with our Paris and other commitments mandatory economy-wide, including the financial-services sector. That will bring transparency over the climate impacts of firms’ activities and allow the market and consumers to respond accordingly.
Crypto Currencies
Debate between Baroness Penn and Baroness Altmann
Baroness Penn (Con)
My Lords, I will take the noble Baroness’s latter point back to the Treasury. On her first point, she is absolutely right that, while we take steps to regulate the use of these assets, we also need to avoid unintended consequences or the stifling of information.
Baroness Altmann (Con)
My Lords, will my noble friend help the House understand the advantages of cryptocurrencies? I confess that I see plenty of disadvantages; this does not seem to be about investing but pure gambling, and the technology is based on anonymity and untraceability, unlike the banking sector. The environmental damage associated with the so-called mining of bitcoins itself undermines some of our COP 26 objectives. I would very much welcome the understanding that the Government have of why this is in any way positive rather than wholly negative for the economy and society.
Baroness Penn (Con)
It is probably worth trying to distinguish between different forms of crypto assets: unbacked crypto assets such as bitcoin can be highly volatile and speculative, and are therefore being regulated by the Financial Conduct Authority in terms of promotions; stablecoins tied to a reference asset could be used as a widespread means of payment and potentially deliver improvements in cross-border transactions; and the underlying blockchain technology could have a number of benefits, improving the efficiency of the settlement processes and reporting and enabling greater automation. So, it really is a question of a having a slightly more nuanced view of these different assets and regulating them appropriately.
Covid-19: Death Duties and Inheritance Tax
Debate between Baroness Penn and Baroness Altmann
Baroness Penn (Con)
My Lords, in fact, the UK has one of the highest levels of wealth taxes in both the G7 and the OECD. We also have a highly progressive income tax system. The top 1% of income tax payers are projected to have paid over 29% of all income tax in 2019-20, an increase from 25% of all income tax in 2010-11.
Baroness Altmann (Con) [V]
My Lords, might an increase in tax on inheritances be considered to help pay for the reform of social care, for which I understand the Treasury is searching for the necessary funding?
Baroness Penn (Con)
My Lords, as I have set out, the Government’s approach to inheritance tax at the most recent Budget was to freeze those thresholds, which will raise additional funding. The Government’s plans for social care will be set out later this year.
Biodiversity: Dasgupta Review
Debate between Baroness Penn and Baroness Altmann
Baroness Altmann (Con)
My Lords, given that precious ecosystems are being existentially endangered and that remedying the problems identified in this brilliant report requires international co-operation, can my noble friend explain how the recommendations will be incorporated into the planning for COP 26 and our economic planning?
Baroness Penn (Con)
My Lords, the Prime Minister has agreed five policy themes for COP 26, and one of those is nature. In our nature campaign, we are committed to protecting and restoring the natural habitats and ecosystems on which climate, air, water and our way of life depend. This year we also have COP 15, for biological diversity, in China, which will be another important opportunity for global action on biodiversity.
Coronavirus Job Retention Scheme: Working Parents and School Closures
Debate between Baroness Penn and Baroness Altmann
Baroness Penn (Con)
The noble Lord is absolutely right that where parents need to take leave for caring responsibilities they have the right to do so, and if that is taken for under 26 weeks, they have the right to return to the same job when they return to work.
Baroness Altmann (Con) [V]
My Lords, following on from the previous question, might it be possible for the Government to consider extending the carers’ leave, given that the pandemic has gone on for so long, so that it is more akin to maternity leave and lasts for a longer period in these exceptional circumstances?
Baroness Penn (Con)
My Lords, the right to take parental leave is one of a number of options open to parents. We hope that employers will work with their employees to find the best solution in each circumstance, including the use of the furlough scheme where appropriate and where the eligibility criteria are clear.
Adult Learning: Union Learning Fund
Debate between Baroness Penn and Baroness Altmann
Baroness Penn (Con)
My Lords, I believe that education and employment is one of the topics that the Prime Minister’s Commission on Race and Ethnic Disparities is looking at. The noble Lord talked about those who are unemployed needing access to adult education. That is absolutely right, and one of the challenges with Unionlearn is that only 11% of users are actually unemployed.
Baroness Altmann (Con)
My Lords, I congratulate Unionlearn on its tremendous work. I also congratulate the Government on their £2.5 billion national skills fund. Following the question from my noble friend Lord Bourne, can the Minister give us some idea of what happened in the discussions with the unions in November and whether any consideration might be given to absorbing some of the Unionlearn operations into the national skills fund?
Baroness Penn (Con)
My Lords, I was not party to those conversations. However, on taking forward the national skills fund and the lifetime skills guarantee, we are obviously consulting with businesses and with people across the sector about their effective operation, and we will continue to take that approach.
Tax Avoidance: Base Erosion and Profit Shifting
Debate between Baroness Penn and Baroness Altmann
Baroness Penn (Con)
The noble Lord is right that this is not only an issue for developed countries but is essential for developing countries and their tax take. The UK believes that the OECD should be the primary standard-setting body for international tax standards, but we are absolutely committed to ensuring that the voices of developing countries continue to be central to those discussions. This is why we have been keen to build on the progress the OECD has made in integrating the interests of developing countries. The inclusive framework has over 100 non-OECD member states and 66 from less economically developed countries, to ensure that those voices are front and centre of these discussions.
Baroness Altmann (Con)
My Lords, can the Minister comment on the progress of any of the 15 actions that are aiming to tackle tax avoidance and improve international tax rule coherence, and to ensure that profits are taxed where economic activity and value creation occur? Are the Government focusing on any specific areas, and has the pandemic had an impact on global co-operation in this area?
Baroness Penn (Con)
I am pleased to tell my noble friend that progress is still being made on these actions, despite the global pandemic. On 12 October, the OECD published its Reports on the Pillar One and Pillar Two Blueprints, regarding the new work going forward. The UK is working with the OECD to support multilateral implementation, having supported and implemented all the key components itself. The OECD published a progress report this year on actions taken.
Interest Rates
Debate between Baroness Penn and Baroness Altmann(3 years, 7 months ago)
Lords ChamberRead Full debate Read Hansard Text
Baroness Penn (Con)
My Lords, I disagree with the noble Baroness that the decision on NS&I interest rates will have an impact on interest rates in the wider market. It is partly because NS&I rates were so out of line with the wider market that this decision was taken. I should also point out that the interest rate decision was taken in light of the Government’s net financing target, which was increased from £6 billion to £35 billion in response to the pandemic.
Baroness Altmann (Con)
My Lords, I congratulate my noble friend for tabling this Question. After 12 years of miserly returns, surely, we need to encourage savers rather than punish them. Banks do not need savers’ money. In the current environment, might the Government consider “corona bonds” to help finance the current emergency spending and demonstrate that they believe in a savings culture?
Baroness Penn (Con)
In effect, customers’ deposits with NS&I are a form of government borrowing and could be interpreted in that way. The increase in the financing remit for NS&I has allowed it to offer those products to many more people without exceeding that remit. However, we have reached a difficult moment whereby it is on track to grossly exceed that remit if action is not taken. However, the Government want to encourage savings and that is why, over recent years, we have taken the vast majority of savers out of paying tax on their savings. We will of course continue to look at what more we can do.
Banks: Internet Transfers of Cash
Debate between Baroness Penn and Baroness Altmann
Baroness Penn
My Lords, the UK takes all fraud, including APP fraud, extremely seriously. In the UK, we have set up the contingent reimbursement model code for APP scams, which ensures that, where victims are of no blame, they are refunded the payments that they lost out on.
Baroness Altmann (Con) [V]
My Lords, I recognise that banks with automated checking systems will have been flagging up the new types of payments that they have never seen before as potentially suspicious, but has the department had conversations with the banks to focus on using new technology which can push the suspected transactions through faster for issues such as CBILS loans?
Baroness Penn
My Lords, in respect of CBILS loans and other payments, we are not aware of any delays in the payment systems causing problems for businesses. More broadly, we are looking at the rapid technology developments in this area and we are working with the Financial Policy Committee on a payment landscape review to look at the infrastructure and regulation, to ensure that this is keeping pace with the development of technology. We will be publishing a call for evidence on that matter shortly.
Economic Outlook and Furlough Scheme Changes
Debate between Baroness Penn and Baroness Altmann
Baroness Penn
I completely agree with the noble Lord that we need to take preventive action on homelessness as well as dealing with the problem where it arises. The Government have put in place a three-month moratorium on evictions, which can be extended. We have also increased the generosity of the local housing allowance to help those who are renting but may have lost their job or income due to coronavirus. A couple of noble Lords have now raised the question of investing in businesses; most of our support is of course given through loans to businesses, but the Future Fund makes equity investments in early start-ups that have been unable to access other finance.
Baroness Altmann (Con) [V]
My Lords, I congratulate the Government on their speedy furlough scheme, protecting the jobs of people who were at risk from this sudden economic shock. But does my noble friend agree that, given the likelihood of huge numbers on furlough ending up being made redundant, it is enormously important to beef up apprenticeships and training opportunities across the country as we try to recover from this pandemic?
Baroness Penn
I absolutely agree with my noble friend about the importance of apprenticeships and other schemes that will help people who have unfortunately lost their jobs during this pandemic to re-enter the labour market and recover as our economy opens up.
Banks: Authorised Push Payment Fraud
Debate between Baroness Penn and Baroness Altmann
Baroness Penn
Some banks have not signed up to the code, because they believe that their actions go further than it but take a slightly different approach. However, 90% of the total volume of transactions is covered by banks signed up to the code, and we welcome further banks signing up.
Baroness Altmann (Con) [V]
My Lords, regulations have failed to keep pace with evolving technology, so scammers are always two steps ahead. Does my noble friend agree that banks need a clearer legal and regulatory framework to help customers, such as being able to prevent payment if they suspect fraud, not being required to make payments within two hours, and not being required to have a court order before retrieving money from a fraudulent account?
Baroness Penn
One of the steps being taken to protect consumers further from the risk of fraud is the introduction of confirmation of payee. That is a new service intended to reduce the number of APP scam attempts succeeding. That was due to be rolled out by the end of March. However, due to Covid, the timeframe was extended to the end of June, with the clear understanding that if any customers had been affected by that delay in rollout—should any fraud have taken place during that time—the banks would compensate them.
G20: Debt Cancellation
Debate between Baroness Penn and Baroness Altmann
Baroness Penn
My Lords, we are in uncharted territory at the moment and the full impact of Covid on the developing world is unknown. The DSSI provides breathing space, so future restructuring of debts may be needed. The G20 has publicly called for the private sector to voluntarily participate in this initiative and, if it did so to the full extent, that would provide another $10 billion of breathing space for these countries.
Baroness Altmann (Con) [V]
My Lords, I thank my noble friend and the Government for all the work they have already done to help less developed and low-income emerging markets grappling with the health and economic fallout of Covid, especially from the fall in commodity prices. But I hope that the Government will consider debt forgiveness rather than just a debt freeze as we go through this unprecedented crisis, so that these countries can recover rather than having to continue to pay debts that have posed such problems in these times.
Baroness Penn
The Government will continue to keep all options under review. In terms of debt forgiveness, the Government have committed a further £150 million to the IMF Catastrophe Containment and Relief Trust, which provides debt relief to low-income countries for their IMF payments. Twenty-five eligible countries will receive that debt relief for at least the next six months.