Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government what plans they have, if any, to abolish the Cornwall and Isles of Scilly Local Enterprise Partnership; if they have such plans, to which body the Partnership's responsibilities would be transferred; and where it would be based.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Government is hugely grateful for the work LEPs have done over the last ten years to support their local economies, including through the Local Growth Fund, Growth Hubs and giving valuable insight to local and national government. Earlier this year the Budget set out significant changes to the way local growth investments are supported, decentralising power and working more directly with local government across the United Kingdom. A review of the LEP was announced at the Spring Budget with the intention to state the Government’s plans around the role of LEPs in the forthcoming White Paper and at the Spending Review.
Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government, further to the Written Answer by Lord Callanan on 27 April (HL14881), whether they will now answer the question put, namely, how much they have paid or are obliged to pay Greensill Capital in year one interest payments made under the Coronavirus Business Interruption Loan Scheme; what percentage by number and value of such loans extended by Greensill Capital involve higher interest rates than from the average of lenders; and what is the number and value of loans where the interest rate exceeded 14.9 per cent.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
Recipients of any Coronavirus Business Interruption Loan Scheme (CBILS) loans made by any lender are entitled to apply for business interruption payments from the Government which cover the interest and any lender-levied fees in the first 12 months of any CBILS facility.
We are unable to provide of a breakdown of CBILS data by lender as this is commercially sensitive for lenders and borrowers. However, data on individual loans will be published where required on the European Commission’s Transparency Aid Module, in due course.
Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government, further to the Written Answer by Lord Callanan on 28 April (HL15066), whether they will now answer the question put, namely, how quickly after accreditation Greensill Capital disbursed Coronavirus Business Interruption Loan Scheme funds.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
Greensill Capital were approved by the British Business Bank in June last year to provide finance through the Coronavirus Business Interruption Loan Scheme (CBILS), based on criteria set out in the CBILS “Request for Proposals”.
The British Business Bank is currently undertaking an investigation into Greensill’s lending under the Covid schemes and as such it would not be appropriate to comment on its lending at this time.
While the Bank investigates Greensill’s position, it remains an accredited lender for CBILS, although it has not been able to originate new lending since October 2020.
Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government, further to the Written Answer by Lord Callanan on 29 April (HL15063), what assessment they have made of the impact of the publication by the Bank of England of a Written Submission to the House of Commons Treasury Select Committee which refers to its communications with German Financial Regulators in the matter of Greensill Bank and Greensill Capital on the accuracy of the Written Answer.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
I refer the Noble Lord to the answer I gave him on 29 April 2021 to Question HL15063.
Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government, further to their obligations under the European Commission's State Aid Transparency Award Module, whether they plan to publish details of (1) the identity of borrowers, (2) the amounts advanced, and (3) the date of the advances from Greensill Capital, made under the Coronavirus Business Interruption Loan Scheme; and if not, why not.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
Details of facilities made available under the Coronavirus Business Interruption Loan Scheme will be published where required on the European Commission’s Transparency Aid Module. Further information can be found on the British Business Bank’s website.
Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government whether Nigel Boardman is the chair of the Audit, Risk and Assurance Committee at the Department for Business, Energy and Industrial Strategy; and whether that Committee is responsible for overseeing the risk audit and credit functionality at the British Business Bank.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
Nigel Boardman is a non-executive board member of the Department for Business, Energy and Industrial Strategy (BEIS) and the Chair of the Audit and Risk Assurance Committee (ARAC).
The British Business Bank (BBB) is an operationally independent arm’s length body of Government. As such, and in accordance with the UK Corporate Governance Code, BBB has separate independent Audit and Risk Committees comprising of independent non-executive directors. BBB’s Board is responsible for internal controls and risk management systems in BBB. Through the governance statement in BBB’s Annual Report and Accounts there is a requirement for BBB to provide assurances to the Government and other stakeholders on performance and insight on BBB’s risk profile, the responses to the identified and emerging risks and how risks have been successfully tackled.
Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government whether they (1) received, or (2) sought, any information from (a) the government of Germany, (b) German financial regulators, or (c) the German Deposit Protection Scheme in connection with Greensill Bank before the British Business Bank accredited Greensill Capital as a Coronavirus Business Interruption Loan Scheme lender; and whether they were advised by the government of Germany that the German Federal Financial Supervisory Authority (i) had established a Greensill task force in July 2020, and (ii) appointed KPMG to conduct a review of the management of Greensill Bank in September 2020.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Department neither sought nor received any information from the German government, German financial regulators, or the German Deposit Protection Scheme in connection with Greensill Bank.
The decision to accredit Greensill Capital was made independently by the British Business Bank (the Bank) and in accordance with the Bank’s usual procedures. The Bank ran an accreditation process for lenders to participate in the Coronavirus Business Interruption Loan Scheme (CBILS), which included due consideration of whether a prospective lender met the criteria set out in the CBILS Request for Proposals (a publicly available document).
At the point of accreditation and based on the information provided to it, the Bank considered that Greensill Capital met the required criteria.
Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government how quickly after accreditation Greensill Capital disbursed Coronavirus Business Interruption Loan Scheme funds.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
We are unable to provide information relating to individual borrowers as it is commercially sensitive.
Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government whether the European Commission's Transparency Aid Module continues to apply to the UK; whether there are any restrictions under (1) the Transparency Aid Module, or (2) agreements with borrowers, which prohibit the immediate announcement of details of all facilities made available under the Coronavirus Business Interruption Loan Scheme; and if not, why they continue to withhold this information relating to individual borrowers.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The requirement to publish certain information via the Commission’s Transparency Aid Module continues to apply with respect to aid granted prior to the end of the Transition Period, and in certain other limited circumstances set out in the Withdrawal Agreement.
Our priority is to ensure borrowers are given notice before information about their loans is shared with the European Commission and we are working with lenders and the British Business Bank to facilitate this. A rolling programme of reporting will then publish details of aid granted within the preceding 12 months where required.
Further information can be found on the British Business Bank’s website.
Asked by: Lord Myners (Crossbench - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government how much they have paid or are obliged to pay Greensill Capital in year one interest payments made under the Coronavirus Business Interruption Loan Scheme; what percentage by number and value of such loans extended by Greensill Capital involve higher interest rates than from the average of lenders; and what is the number and value of loans where the interest rate exceeded 14.9 per cent.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
Recipients of any Coronavirus Business Interruption Loan Scheme (CBILS) loans made by any lender are entitled to apply for business interruption payments from the Government which cover the interest and any lender-levied fees in the first 12 months of any CBILS facility.
We are unable to provide of a breakdown of CBILS data by lender as this is commercially sensitive. However, data on individual loans will be published, where required on the European Commission’s Transparency Aid Module, in due course.