Small Business: EU Exports

Lord Stevenson of Balmacara Excerpts

Thursday 28th January 2021 Lords Chamber

[Baroness Bloomfield of Hinton Waldrist (Con)]

I am grateful to my noble friend for asking a positive question looking at export markets outside the EU. We are committed to enabling SMEs to benefit from these new markets. They have access to a full range of tailored support from the Department of International Trade, through the Exporting is GREAT digital hub, the “business as usual” scheme for exporters’ working capital and the provision of export credit insurance policies where many commercial providers have scaled back. Further, the general export facility announced in the other place on 7 December provides a government guarantee to the five main banks to provide working capital support for SMEs.

[Lord Stevenson of Balmacara (Lab) [V]]

My Lords, as the Minister said, these are early days. However, there are reports—some in the papers today—about small businesses that export to the EU having difficulties and incurring extra costs. This can impact on consumers, particularly if companies are using the uncertainty created by the end of the transition period to load these costs on to consumers. Does the Minister believe that the Government have the powers they need to stamp out such abuses?

[Baroness Bloomfield of Hinton Waldrist (Con)]

While I am not aware of the abuses the noble Lord refers to, I will make sure I am fully informed of them. It is vital that traders set up transparent contracts with their consumers, which clearly explain any costs applied, and our consumer rights regulations enable consumers to take legal action to enforce their rights and recover their money if they think that these fees are excessive. If the noble Lord can share specific examples of this activity, I will be able to consider it further and write to him with more details.