Coronavirus Bill

Debate between Earl Howe and Lord Blunkett

Committee stage & Committee: 1st sitting (Hansard) & Committee: 1st sitting (Hansard): House of Lords
Wednesday 25th March 2020 Lords Chamber

[Earl Howe]

The noble Baroness makes a very important point. She may be aware of instances where the system has broken down, and of course that is very regrettable. I hope that those affected will be able to bring that to the attention of the Department for Work and Pensions. We can only do what we can do. I say again that the willingness to ensure that the system works is most definitely there.

[Lord Blunkett]

I am in danger of being a pain here, but could the noble Earl acknowledge that he understood the point I was trying to make about micro-businesses? If they employ somebody, they may be able to draw down on the £2,500 per month assistance, which is very welcome. But if the business itself goes bust because it cannot draw down on the generous help that is available to larger businesses with rateable value, then those employees will not have a job to come back to.

[Earl Howe]

I fully acknowledge the noble Lord’s point. I refer him to the various measures that my right honourable friend announced for businesses generally, but in particular for small and medium-sized businesses. They are more vulnerable generally than larger businesses. The job retention scheme was specifically designed to address this situation, as he rightly said, as were mortgage holidays. The business interruption loan scheme is available to small businesses, particularly on finance facilities up to £5 million. That will enable more businesses to access the finance they need to assist cash flow. If it proves necessary for my right honourable friend to look at further measures, I have no doubt that he will do so.