Question to the Department for Business, Energy and Industrial Strategy:
To ask Her Majesty's Government which government agency was responsible for monitoring the activities of Greensill Capital under the Coronavirus Business Interruption Loan Scheme; and whether in their monitoring duties they involved or sought advice from any other government department or regulatory agency.
All accredited lenders across the three Covid-19 loan schemes (the Bounce Back Loan Scheme, the Coronavirus Business Interruption Loan Scheme, and the Coronavirus Large Business Interruption Loan Scheme) are subject to audit by the British Business Bank to ensure their compliance with scheme rules. The British Business Bank has appointed KPMG and RSM to undertake annual audits of each accredited lender under the schemes.
The audit programme has been established to provide assurance as to whether the participating lenders are administering the schemes in line with guarantee agreements entered into with lenders, as well as other agreed rules and procedures of the schemes. An audit review panel within the British Business Bank has been established as the governing body that provides direction and subsequent actions based on findings from the audits. The panel’s responsibilities include reviewing all draft audit reports to determine remediation actions required by lenders. The panel also monitors auditor performance and agrees the strategy for the following year with respect to operational audits.