Commons Sense

House of Commons · Written Ministerial Statement

Departmental Contingent Liability Notification (Trade Credit Reinsurance Scheme)

04 June 2020 · Department for Business, Energy and Industrial Strategy

Proposed by Alok Sharma Con Reading West

Business & Trade

Summarised by AI from the official record, so it can contain mistakes.

View on Parliament.uk

At a glance

Key points

  • The Trade Credit Reinsurance Scheme is designed to provide financial assurance to businesses in manufacturing and construction sectors during the Coronavirus pandemic.
  • The scheme will be available temporarily from April 1, 2020, until December 31, 2020, with a potential for extension.
  • The scheme aims to reinsure credit risks covered by trade credit insurance to maintain market coverage and support supply chains.

Issue summary

The statement addresses the Trade Credit Reinsurance Scheme designed to provide financial assurance to businesses in sectors such as manufacturing and construction during the Coronavirus pandemic.

Action requested

The minister announces the launch of the Trade Credit Reinsurance Scheme, available temporarily from April 1, 2020, until December 31, 2020, with a potential for extension. The scheme will reinsure credit risks covered by trade credit insurance to maintain market coverage and support supply chains.

Key facts

  • Trade Credit Insurance covers hundreds of thousands of business-to-business transactions.
  • The Trade Credit Reinsurance Scheme is available from April 1, 2020, until December 31, 2020.
  • The scheme will ensure that the vast majority of insurance coverage is maintained across the market.
  • A Departmental Minute containing a description of the liability undertaken will be laid by the Government.
▸ Assessment & feedback
Summary accuracy