House of Commons · Written Ministerial Statement
Business Update
05 September 2022 · Department for Business, Energy and Industrial Strategy
Proposed by Kwasi Kwarteng Con Spelthorne
Summarised by AI from the official record, so it can contain mistakes.
At a glance
Key points
- The Government has laid a Departmental Minute before Parliament concerning contingent liabilities from letters of credit issued to Bulb Energy.
- Updated data on the Bounce Back Loan Scheme is being released, including information on suspected fraud.
- The Government is detailing enforcement actions taken under the Bounce Back Loan Scheme.
Issue summary
The statement addresses the issuance of letters of credit for Bulb Energy Limited and updates on the Bounce Back Loan Scheme's performance.
Action requested
I have laid a Departmental Minute before Parliament detailing contingent liabilities arising from letters of credit issued to support Bulb Energy. The Government is also releasing updated data on the Bounce Back Loan Scheme, including information on suspected fraud and enforcement actions taken.
Key facts
- Letters of credit are being provided for Bulb Energy Limited as part of its Special Administration Regime.
- Total value of loans drawn through BBLS by businesses as at 31 July 2022 is £46.6 billion.
- Over £2.2 billion worth of fraudulent applications were prevented due to lender checks.
- NATIS has opened 273 investigations into BBLS fraud with a total value of £160 million and made 49 arrests.
- Insolvency Service activity has resulted in 242 director disqualifications, 101 bankruptcy restrictions, and 1 criminal prosecution.