Covid-19: Economic Package

Debate between Lord McNicol of West Kilbride and Lord Marland

Wednesday 13th May 2020 Lords Chamber

[The Deputy Speaker (Lord McNicol of West Kilbride) (Lab)]

I remind all noble Lords to please ask brief questions.

[Lord Marland (Con)]

My Lords, I draw attention to my various business interests listed in the House of Lords register. I start by complimenting the Chancellor and his team. I am sure all noble Lords would like to thank my noble friend the Minister for his tireless efforts throughout this horrendous crisis. The programme of support for business has been far better than that in 2008. The pressure on banks, for example, to perform has been a very good thing and the furlough scheme has been an act of near genius. I also applaud the new scheme for the self-employed, launched today, which the Minister touched on a moment ago. Perhaps he can advise noble Lords of the applications received to date.

I urge caution, however, in announcing an extension to the furlough scheme until October. That will not only cost us £100 billion but will, I am afraid, support many businesses that were ailing before this crisis. I am also aware of a number of profitable and productive businesses that will continue to use it when they have strong enough balance sheets to support their activities without government support. Will the Minister assure us that steps are being taken to prevent malpractice?