Tag: 2023

  • Rishi Sunak – 2023 Letter to Nadhim Zahawi Following His Breach of Ministerial Code

    Rishi Sunak – 2023 Letter to Nadhim Zahawi Following His Breach of Ministerial Code

    The letter sent by Rishi Sunak, the Prime Minister, the Nadhim Zahawi, the Conservative Party chair, on 29 January 2023.

    Dear Nadhim

    When I became Prime Minister last year, I pledged that the Government I lead would have

    integrity, professionalism and accountability at every level.

    That is why, following new information which came to light in recent days regarding your personal financial arrangements and declarations, I asked Sir Laurie Magnus, the Independent Adviser on Ministers’ Interests, to fully investigate this matter. You agreed and undertook to cooperate fully with the inquiry.

    Following the completion of the Independent Adviser’s investigation – the findings of which he has shared with us both – it is clear that there has been a serious breach of the Ministerial Code. As a result, I have informed you of my decision to remove you from your position in His Majesty’s Government.

    As you leave, you should be extremely proud of your wide-ranging achievements in government over the last five years. In particular, your successful oversight of the COVID-19 vaccine procurement and deployment programme which ensured the United Kingdom was at the forefront of the global response to the coronavirus pandemic. Your role was critical to ensuring our country came through this crisis and saved many lives. And as the Conservative Party Chairman, you have undertaken significant restructuring to Conservative Campaign Headquarters and readied us for important work in the coming months.

    It is also with pride that I, and previous Prime Ministers, have been able to draw upon the services of a Kurdish-born Iraqi refugee at the highest levels of the U.K. Government. That is something which people up and down this country have rightly valued.

    I know I will be able to count on your support from the backbenches as you continue to passionately and determinedly serve your constituents of Stratford-on-Avon and represent the many issues and campaigns you are dedicated to. Thank you for your service to this and previous governments.

    Yours sincerely Rishi Sunak

    The Right Honourable Nadhim Zahawi MP

  • Daniel Kawczynski – 2023 Parliamentary Question on Broadband Coverage in Rural Areas

    Daniel Kawczynski – 2023 Parliamentary Question on Broadband Coverage in Rural Areas

    The parliamentary question asked by Daniel Kawczynski, the Conservative MP for Shrewsbury and Atcham, in the House of Commons on 26 January 2023.

    Daniel Kawczynski (Shrewsbury and Atcham) (Con)

    What progress her Department has made on expanding broadband coverage in rural areas.

    Selaine Saxby (North Devon) (Con)

    What progress her Department has made on expanding broadband coverage in rural areas.

    The Minister of State, Department for Digital, Culture, Media and Sport (Julia Lopez)

    I wish to echo your words about the Holocaust Memorial Day Trust’s important work, Mr Speaker.

    We are investing £5 billion through Project Gigabit to deliver lightning-fast broadband to hard-to-reach areas across our country. Last week, we announced that thousands of people living in rural Cornwall will benefit from a £36 million contract. We have now awarded six such contracts, covering up to 681,000 premises. More procurements are in the pipeline and we have also upped our voucher scheme so that more premises can benefit.

    Daniel Kawczynski

    I thank my hon. Friend for that answer. Obviously, I am delighted that last week we secured nearly £19 million from the levelling-up fund for Shrewsbury town centre, but we will never really have levelling up across the whole of the United Kingdom unless rural parts of our constituencies have broadband coverage commensurate with metropolitan areas in coverage and speed. What is she doing specifically to make sure that improvements are made in the county of Shropshire?

    Julia Lopez

    My hon. Friend is right to talk about the importance of digital connectivity to the whole levelling-up agenda, which is why we are prioritising our procurement to some of the really tough-to-reach parts of the country that have been poorly served by broadband previously. I know that he has been campaigning hard on these issues since 2015. He has good superfast coverage now in his constituency, but I appreciate that gigabit is not where it should be in his county. I am pleased to say that our Mid West Shropshire procurement is going to be awarded in April to June this year, and I hope that his constituents will benefit from that.

    Selaine Saxby

    The roll-out of rural broadband has made great progress in the past three years. Will my hon. Friend outline when the new framework and guidance for fibre community partnerships and the gigabit roll-out will be available, so that the roll-out can continue at pace across North Devon?

    Julia Lopez

    I thank my hon. Friend, because the progress has been substantial and she has been a key part of that by making sure that political pressure is maintained to get this kind of connectivity to places such as her constituency. On the fibre community partnerships, Openreach temporarily paused the registration while the supplier worked through the current requests. We have been working closely with Openreach to assist its review of that scheme. We hope it will be reopening it as soon as possible, but she will be pleased to hear that we are also on track to launch the Devon and Somerset procurements in April. Again, I hope that her constituents will stand to benefit from that.

    Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)

    I recently met people from CityFibre in my constituency to celebrate the roll-out of full fibre in Inverness. CityFibre is now moving into the rural areas, and it has taken the full fibre coverage from 0.8% to 60%. What steps is the Minister taking to ensure that companies such as CityFibre, working in partnership with local councils and others, can continue to operate in this market as there is this competition, and that they have the ability to operate in and expand into rural areas?

    Julia Lopez

    I thank the hon. Gentleman for his constructive intervention and question. CityFibre been fundamental in driving stiff competition in this area, which has really accelerated the roll-out. We thank CityFibre and other altnets and providers for all the work they are doing. We absolutely prioritise having a competitive framework, because we think it has been so crucial to making sure that areas such as his are covered.

    Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)

    As has been said, if levelling up is to mean anything, it would mean it in broadband. Often, what is needed is just a green cabinet and small amounts of money for rural areas. What confidence can people have that the Government will act in this Parliament? Other countries with a much worse topography have seen their rural areas get broadband years ago. What confidence can people have that the UK is going to act in the next two years—in this Parliament?

    Julia Lopez

    I am always grateful to hear from the hon. Gentleman. I know that his constituency is a very rural one with an island population, which creates particular challenges. Much of the broadband roll-out is being driven by the Scottish Government. Their R100 programme has had some problems, and I have spoken to Ivan McKee about how we can assist with those. We are keeping a very close eye on the matter, because we want to make sure that every part of our country is covered by this connectivity and is not disadvantaged by some of the local ways in which the projects are being managed.

    Esther McVey (Tatton) (Con)

    The Gigabit Broadband Voucher Scheme is not working as intended in the smaller rural villages of Tatton. The community groups have found that the scope of the local authority contract includes commercially viable areas, but excludes the remote areas. I thank the Minister for being very helpful, but, ironically, the more work that we did, the more we exposed the weaknesses. Will she meet me, representatives of Lower Peover and Building Digital UK to solve the issue?

    Julia Lopez

    I thank my right hon. Friend for all the work that she has done to make sure that Cheshire is connected. I have looked at the issues of Lower Peover. In particular, she highlights challenges with the voucher scheme. I want to assure her that we have upped the amount that can be claimed to £1,500 per premises. I am always happy to meet hon. Members on these issues, but I also hold BDUK surgeries regularly, so please book in for those, but, of course, I will meet her personally to discuss this.

    Jim Shannon (Strangford) (DUP)

    I thank the Minister for her answers and for the help that the central Government at Westminster give to Northern Ireland for rural broadband. One issue is banking, online shopping and postal services. Has the Minister had the opportunity to assess how, in relation to rural broadband, these things impact on banking services in rural areas? We are moving forward to new technology and new times. We need help.

    Julia Lopez

    The hon. Gentleman highlights just how important good connectivity is to accessing all the services that are going online. One great thing about Northern Ireland is some of the progress that it has made on gigabit connectivity from its contract with Fibrus, and we thank Fibrus for all that it has done. I am happy to look into any of the issues that he raises, but, as I have said, he highlights very well just why it is so important that people do have that connectivity.

    Mr Speaker

    I call the shadow Minister.

    Stephanie Peacock (Barnsley East) (Lab)

    Thank you, Mr Speaker. I wish to begin by echoing your words about Holocaust Memorial Day.

    From April, families across the country will face a 14% rise to their broadband bills, but, even before that increase, there were already more than 1 million households struggling to pay for the internet. Expanding gigabit coverage is vital, but it is pointless if families cannot afford a broadband package. How will the Department work with Ofcom to examine the impact of mid-contract price increases and wholesale prices rising by inflation?

    Julia Lopez

    I thank the hon. Lady for her question. She is right to highlight the cost of living challenges that are affecting so many households. We have worked hard on this. It is important that we have a stable regulatory framework that allows companies to invest, but we have hitherto had some of the most competitive telecoms prices in Europe and consumers have benefited from that. In relation to those who are really struggling with their bills, we have done a lot of work with telecoms providers on social tariffs. Unfortunately, the uptake of those tariffs is not where it should be, so I ask every Member of this House to help us raise awareness, because their constituents can get deals from as little as £10 a month. Trying to get them that connectivity is so important to people’s job chances, life chances and so on.

  • PRESS RELEASE : World Trade Organisation’s Dominican Republic Trade Policy Review – UK statement [January 2023]

    PRESS RELEASE : World Trade Organisation’s Dominican Republic Trade Policy Review – UK statement [January 2023]

    The press release issued by the Foreign Office on 27 January 2023.

    The UK’s Permanent Representative to the WTO in Geneva gave a statement during Dominican Republic’s fifth WTO Trade Policy Review (TPR).

    Madame Chair,

    Let me thank the Government of the Dominican Republic and the WTO Secretariat for their Reports and welcome the typically insightful comments of our most distinguished Chair and also our Discussant, Ambassador PAGÁN, Ambassador of the United States of America, fresh from her own nation’s TPR.

    Let me start by saying, we commend the Dominican Republic on their GDP growth rates between 2014-2019, exceeding the historical average at 6.2% and that we appreciate the Dominican Republic’s responses to our 18 Advance Written Questions. We were interested to know more about customs procedures, import measures in particular tax stamps, technical requirements, and single investment windows. These highlight the granular interest which we and British companies place in effective trading relations with the Dominican Republic. As with other Members, we also raised questions regarding the agriculture sector, in particular exemptions for import licenses.

    The Secretariat’s Report for this TPR indicates that over the review period, the Dominican Republic’s economy had a remarkable recovery from the COVID-19 pandemic, with a contraction in GDP of almost 7% in 2020 followed by growth of over 12% in 2021.

    We were also pleased to note the shift towards sustainable agriculture practices during the review period and how these practices have contributed towards increased food security, rural jobs, and agricultural exports. The UK is keen to hear more about developments within Dominican Republic’s agriculture, health and safety system.

    However, as the Secretariat Report also identifies, since their last review, where Sanitary and Phytosanitary (SPS) measures were deemed unfit there has not been much marked progress, as there is still no centralized mechanism for the preparation of SPS measures. We therefore encourage the Dominican Republic to pay particular attention to these key areas.

    We are grateful to the Government of the Dominican Republic for being one of the first countries to ratify the CARIFORUM-UK Economic Partnership Agreement in April 2019. The UK appreciates Dominican Republic’s continued collaboration in the implementation of the CARIFORUM-UK Agreement and we look forward to working together to fully implement all areas of the agreement.

    The first meeting of the Partnership’s Trade and Development Committee was held in October 2021, which was an opportunity for parties to provide updates on relevant trade policy developments in the United Kingdom and in the Caribbean region, and to reaffirm their desire for a prompt ratification of the Agreement.

    We also discussed matters of joint interest including tariff liberalisation, trade in Goods & Services, and Geographical Indications. The parties noted with satisfaction that the Agreement had secured continuity of a trading relationship worth almost £4 billion in 2021 and expressed their wish to further develop sustainable and inclusive trade.

    Turning to exogenous challenges, Members representing Small Island Developing States and Small Vulnerable Economies rightly highlight the increasing threat presented by extreme climactic events.

    According to an ongoing research programme by the EU’s Global Climate Change Alliance Plus Initiative, the Dominican Republic is the 11th most vulnerable country to climate change in the world. In a region of intense cyclonic activity, the Dominican Republic is one of the WTO Members most threatened by hydrometeorological events. The impact of these extreme events has provoked economic losses in the order of almost $10 billion, not to mention the impact on human and natural life.

    Relatedly, Global Supply Chains, the bedrock of free and fair trade and the conduit to its benefits are also increasingly threatened by extreme weather, from damaged infrastructure to disrupted logistics and the rippling knock-on effects. It’s a reminder that, as a Membership, we must accelerate efforts to modernise the international trading environment, such as through harmonised standards and digitised customs procedures.

    We recognise the challenge for Small Island Developing States (SIDS) to diversify considering their vulnerability to external shocks and the impacts of climate change and natural disasters. Indeed, SIDS are important partners for the UK. In our International Development Strategy, we set out our vision that SIDS will be more climate and economically resilient by 2030. And we salute the constructive role played by the Dominican Republic in representing the interests of SIDS in a whole range of multilateral fora, in Geneva and beyond.

    Just last month, alongside Canada and the Alliance of Small Island Sates, we launched the Principles for Improved Aid Impact in SIDS at the Effective Development Cooperation Summit here in Geneva. We hope that the Principles will be a useful tool in improving the quality of aid and ensuring that development partners align with SIDS’ own priorities.

    We look forward to working with the international community to drive action on SIDS climate and economic resilience ahead of the pivotal UN SIDS Summit next year. The UK is committed to delivering the promises of the Glasgow Climate Pact, including action on the scale of finance, considering vulnerability in our finance decisions, and addressing loss and damage.

    Chair, to conclude, we wish our colleagues from the Dominican Republic well and a successful 5th Trade Policy Review. Thank you, Ambassador.

  • PRESS RELEASE : 42nd Universal Periodic Review of human rights – UK statement on Guatemala [January 2023]

    PRESS RELEASE : 42nd Universal Periodic Review of human rights – UK statement on Guatemala [January 2023]

    The press release issued by the Foreign Office on 27 January 2023.

    The UK’s International Ambassador for Human Rights gave a statement during Guatemala’s Universal Periodic Review (UPR) at the Human Rights Council.

    Thank you, Mr Vice-President.

    Last November, I travelled to Guatemala and had the privilege of meeting civil society representatives and judges, who highlighted the challenging context they operate in.

    We are concerned by threats to the rule of law in Guatemala. The continued criminalisation of human rights defenders and members of the judiciary is particularly worrying. We urge the government to guarantee due process.

    We note the increasingly challenging environment for journalists and media organisations. We urge the government to protect media freedom, ensure free access to information, and tackle disinformation.

    While we recognise the positive steps that the Guatemalan government has taken on access to justice, we remain concerned by the lack of new legislation to protect women and vulnerable groups.

    We recommend that Guatemala:

    1. Repeal and withdraw legislation weakening the rule of law and endangering the fight against corruption.
    2. Protect and strengthen civic space by adopting a public policy for the protection of human rights defenders as well as a mechanism for the protection of journalists, guaranteeing that they will receive both political support and sufficient resources.
    3. Enhance the promotion and protection of the rights of women and girls, including strengthening those institutions, such as the Presidential Secretariat for Women, dedicated to eliminating violence against women and girls.

    Thank you.

  • PRESS RELEASE : 42nd Universal Periodic Review of human rights – UK statement on Peru [January 2023]

    PRESS RELEASE : 42nd Universal Periodic Review of human rights – UK statement on Peru [January 2023]

    The press release issued by the Foreign Office on 27 January 2023.

    The UK’s Permanent Representative to the UN in Geneva gave a statement during Peru’s Universal Periodic Review (UPR) at the Human Rights Council.

    Thank you, Mr President,

    The United Kingdom welcomes the commitment of the new President of Peru to unity, inclusion and dialogue, and the bid made last year to join this Council in 2024-26.

    However, we are concerned about reports of abuses by the police and armed forces during the recent protests in Peru. We call on the Government of Peru to intensify its efforts to ensure a proportional and legal response to protests, and the protection of human rights, even in the face of violence, vandalism and attacks, which are unacceptable and have no place in peaceful protest.

    We continue to urge immediate and impartial investigations into allegations of abuses and disproportionate action. We ask that the Government of Peru takes swift action to build confidence by demonstrating that anyone responsible will be held accountable. We welcome the visit of the Inter-American Commission on Human Rights (IACHR) and work of the OHCHR. The United Kingdom stands with the people of Peru in support of their democracy.

    We recommend that Peru:

    1. Adopt regulatory measures to grant women and girls access to safe and legal abortion, especially on health grounds and for victims of rape.
    2. Strengthen multiagency actions aimed at preventing and eradicating gender-based violence, including through capacity building for public servants providing services and justice for survivors of gender-based violence.
    3. Strengthen institutional capacity to ensure the protection of Human Rights Defenders living in indigenous communities, especially through the Ministry of Interior.

    Thank you, Mr President.

  • Michelle Donelan – 2023 Speech at Bloomberg

    Michelle Donelan – 2023 Speech at Bloomberg

    The speech made by Michelle Donelan, the Secretary of State for Digital, Culture, Media and Sport at Bloomberg in London on 27 January 2023.

    Good morning, thank you all for coming here today – and thank you to Bloomberg for hosting this morning.

    I am really delighted to be here, opening this event, and as Digital Secretary, to be in charge of what I think is one of the most important portfolios in government.

    Last year, this small island became just the third country in the world to have a tech sector valued at over $1 trillion – behind only China and the United States, and first in Europe by some distance.

    Our sector is worth more than double of Germany’s and three times more than France’s, and is home to hundreds of unicorns – including household names like Deliveroo and Monzo.

    And perhaps most importantly, we are world leaders in the kind of tech that is going to dominate our future, like AI.

    And this didn’t happen by accident.

    We got here thanks to the people in this room – thanks to your ideas, and your passion and your entrepreneurial spirit.

    We also got here because we have a clear vision for where this country is going, and a government that is prepared to match that ambition with action.

    I believe that Britain is uniquely placed in the world to become the world’s number one when it comes to tech.

    Now that we are outside of the EU, and with our proud history of being a nation where we offer measured, proportionate regulation, that sparks and enables innovation, where we also really value and encourage the entrepreneurial spirit,

    One where entrepreneurs have both the stability, but also the freedom, to invest and innovate.

    And that’s why in the decade or so since the start-up scene first began springing into life, the UK has seen a sustained explosion of investment and growth.

    It happened because we brought together a potent mix of four key fundamental things:

    The right people.

    The right money.

    The right ideas.

    And the right regulation.

    Which is why all of these four things underpinned the government’s Digital Strategy.

    And if we want to take things to the next level – to the very top – then we need to double down on all of those four things.

    To double down on people – through things like addressing the skills gaps, which is the theme of one of my roundtables.

    And having spent three years in the Department for Education prior to this, I have first hand seen how the skills element really can play a key role.

    And for me just two stats illustrate the urgency of that challenge very clearly:

    Firstly: digital roles are now increasing four times faster than the workforce as a whole.

    And secondly: there are an average of 173,000 vacancies per month for digital occupations in the UK. Those unfilled roles are costing us up to £150 billion a year in lost GDP.

    So we need to continue to focus on people.

    This is a country that has on average produced a Nobel Prize winner every year for the past two decades, and we need to keep it that way.

    We need to continue as well to focus on money: to keep venture capital investment flowing through, prioritise our science and tech budget and work together to drive investment in our 5G and gigabit networks.

    On ideas – we need to continue to foster investment in research and development, to help our world-class universities even more world-class graduates, and skills that will drive the tech sector forward even faster.

    And we need to keep providing the right regulation – to create the kind of competitive and innovative environment where people can start the next Deliveroo or DeepMind, and can scale it up, and go on to become global success stories.

    So we already have the right list of ingredients. We just need to double down on them.

    And I will just finish by saying I think it is the perfect time to be so ambitious and bold.

    There is no doubt that this is an extremely challenging time for our economy.

    We have just been through a once-in-a-century pandemic, we are experiencing war in Europe, soaring inflation and an increase in the cost of living across the globe.

    But let’s not forget our world-renowned tech ecosystem sprung up in the shadow of the 2007/8 financial crisis.

    And if any country has the brain power and ingenuity to repeat history, and use tech to drive us out of another challenging period, I genuinely believe it is this one.

    The Business Secretary, the Chancellor and I will work closely with all of you over the coming months to make this happen. We will ensure that your views and your ideas are represented as your voices in government.

    And on that note, I would now like to hand over to the Business Secretary, Grant Shapps.

  • PRESS RELEASE : 42nd Universal Periodic Review of human rights – UK statement on Argentina [January 2023]

    PRESS RELEASE : 42nd Universal Periodic Review of human rights – UK statement on Argentina [January 2023]

    The press release issued by the Foreign Office on 27 January 2023.

    The UK’s International Ambassador for Human Rights gave a statement during Argentina’s Universal Periodic Review (UPR) at the Human Rights Council.

    Thank you, Mr President,

    I wish to thank Argentina for its invaluable contribution to the work of this Council through the recent stewardship of H.E. Ambassador Federico Villegas.

    The United Kingdom welcomes the adoption of Law 27.610 on the voluntary termination of pregnancy and encourages the Government to pursue its full implementation.

    We also commend the current Bill on a comprehensive approach to institutional violence in law enforcement. Accountability mechanisms are essential as we remain concerned by excessive use of force and arbitrary detentions.

    We recommend that Argentina:

    1. Work across the political spectrum to appoint an ombudsperson and fill other vacant important posts in the justice system without delay;
    2. Systematically collect disaggregated data on any cases of human rights violations by law enforcement officials;
    3. Strengthen healthcare services at all levels to meet the demand for sexual and reproductive healthcare, including access to abortions, in line with Law 27.610.

    Thank you.

  • PRESS RELEASE : 42nd Universal Periodic Review of human rights – UK statement on Czech Republic [January 2023]

    PRESS RELEASE : 42nd Universal Periodic Review of human rights – UK statement on Czech Republic [January 2023]

    The press release issued by the Foreign Office on 27 January 2023.

    The UK’s International Ambassador for Human Rights gave a statement during the Czech Republic’s Universal Periodic Review (UPR) at the Human Rights Council.

    Madam President,

    The United Kingdom commends the Czech Republic’s longstanding commitment to promoting and protecting human rights including through their Presidency of this Council.

    In particular, we welcome the Government’s commitment to address gender-based violence through the 2030 Gender Equality Strategy.

    We welcome too its Strategy for Education Policy, and encourage the Government to end segregation for Roma students and consider anti-discrimination training for teachers.

    We recommend:

    1. Ratify the Istanbul Convention, and implement it into domestic law.
    2. Amend the legal definition of rape within the criminal code to be based on a lack of consent rather than use of force or threat.
    3. Pass legislation recognising same-sex unions, ensuring same-sex and heterosexual couples enjoy equal rights and freedoms.

    Thank you.

  • PRESS RELEASE : UK condemns Assad for using chemical weapons in Douma, Syria, in 2018 [January 2023]

    PRESS RELEASE : UK condemns Assad for using chemical weapons in Douma, Syria, in 2018 [January 2023]

    The press release issued by the Foreign Office on 27 January 2023.

    New report from the Organisation for the Prohibition of Chemical Weapons (OPCW) confirms Assad’s regime responsible for 2018 Douma attack.

    The Minister of State for the Middle East, South Asia, UN and the Prime Minister’s Special Representative on Preventing Sexual Violence in Conflict, Lord (Tariq) Ahmad of Wimbledon, has condemned the Assad regime for its use of chemical weapons following the publication of a report by the OPCW which determined that the Syrian Arab Armed Forces used chlorine as a chemical weapon in an attack on Douma in April 2018.

    Minister for the Middle East, Lord (Tariq) Ahmad of Wimbledon, responded to the report:

    Today’s report from the Organisation for the Prohibition of Chemical Weapons provides compelling evidence that this heinous chemical weapons attack in Syria was carried out by the Assad regime against its own people.

    We share the OPCW’s assessment on Bashar al-Assad and his regime’s culpability and commend their resilience, professionalism and expert independent analysis in the face of desperate attempts by Syria and Russia to block this investigation.

    We remember the victims of the Douma attack and remain committed to pursuing the justice they deserve. We are steadfast in our commitment to holding all those who use chemical weapons to account.

    This is the third report by the OPCW’s Investigation and Identification Team (IIT) into chemical weapons attacks in Syria. Following a lengthy and meticulous investigation and despite Syria’s attempts to block investigation, the OPCW report has concluded that there are reasonable grounds to believe that the Syrian Arab Air Forces were the perpetrators of the chemical weapons attack on 7 April 2018 in Douma, Syrian Arab Republic.

    Previous reports from the IIT had found the Assad regime responsible for carrying out three separate attacks with sarin and chlorine in Ltamenah in March 2017 and using chlorine in Saraqib in February 2018. Both are prohibited under international law.

    The United Kingdom is determined to identify those responsible for chemical weapons attacks and hold them to account. Following the attack in 2018, the UK and allies identified that a significant body of information indicated the Syrian regime’s responsibility for the attack.

    The UK, France and the US also carried out a limited and targeted strike to degrade and deter the use of chemical weapons by the Syrian regime. We are clear that we will not allow the use of chemical weapons to be normalised and remain firm in our resolve to respond appropriately.

    The OPCW’s meticulous investigations have now confirmed the UK’s assessment that the Assad regime was responsible. The UK fully supports the OPCW’s investigations.

    The OPCW membership has suspended Syria’s voting rights and privileges in the OPCW until it complies with its chemical weapons obligations. Syria must fully declare and destroy all aspects of its chemical weapons programme.

  • PRESS RELEASE : Launch of the Energy Markets Finance Scheme [January 2023]

    PRESS RELEASE : Launch of the Energy Markets Finance Scheme [January 2023]

    The press release issued by HM Treasury on 27 January 2023.

    HM Treasury and the Bank of England are opening the Energy Market Financing Scheme (EMFS) for applications.

    Update: 27 January 2023

    The joint Bank of England – HM Treasury Energy Markets Financing Scheme (EMFS) application window opened on 17 October and closed on 27 January. As the scheme did not receive any applications, the EMFS has now formally closed with no guarantees issued.

    HM Treasury and the Bank of England worked closely with commercial lenders and the sector to deliver the scheme, and made several technical changes to the scheme on 7 December 2022 in response to feedback.

    Since the launch of the scheme, prices in the wholesale gas markets have declined markedly and this has reduced some of the pressure facing eligible energy firms.

    HM Treasury and the Bank of England will continue to monitor developments in energy markets.

    The EMFS was announced on 8 September, and in The Growth Plan the then Chancellor confirmed that it will provide a 100% guarantee to commercial banks to provide additional lending to energy firms.

    Delivered with the Bank of England, this scheme addresses the extraordinary liquidity requirements faced by energy firms operating in UK wholesale gas and electricity markets as a result of margin calls.

    Energy prices have been high and volatile this year. As a result, large amounts of collateral are required to enter into contracts firms use to effectively insure themselves from price fluctuations, or otherwise firms must accept large credit exposures to their counterparties.

    The details of the scheme were announced on 17 October, and firms can apply via the Bank of England.

    The application window will remain open until noon GMT on 27 January 2023; however, guarantees will last for 12 months from when an application is approved. Firms are encouraged to engage the Bank of England in advance of the deadline if considering an application as part of forward planning at: EMFS-Applications@bankofengland.co.uk.

    The scheme is aimed at providing a backstop to support energy firms facing large and unexpected margin calls. Pricing and conditions will reflect this objective. The scheme will provide resilience to energy markets and therefore help to reduce the eventual cost for businesses and consumers.

    Further details on the structure of the scheme can be found on the Bank of England’s website and the market notice. To apply to the scheme please contact EMFS-Applications@bankofengland.co.uk

    Scheme Eligibility

    As part of the application process, firms will need to demonstrate that they meet the eligibility criteria.

    The EMFS is intended to support energy firms  who are facing short term liquidity challenges but would be otherwise in sound financial health. Eligibility will be considered based on the following criteria:

    • Firms must demonstrate they are in sound financial health (firms must be otherwise solvent and solvency will be assessed through robust due diligence processes)
    • Firms must be licenced by either Ofgem (or have an entity in the Energy Firm’s group that is Ofgem-licenced) or the Utility Regulator in Northern Ireland (or have an affiliate of the Energy Firm that is licenced by the Utility Regulator of Northern Ireland)
    • Firms must also have a pre-existing relationship with an approved commercial bank or banks

    In addition, firms must also demonstrate they are making a material contribution to UK energy markets, in line with criteria set out in the market notice.

    Eligibility will be assessed by the Bank of England and an Advisory Committee convened by HMT, who will make a recommendation for the Chancellor to make a decision to approve or reject each application.

    Eligible firms who wish to apply for a guarantee will be required to comply with a set of policy conditions, such as restrictions on executive pay and capital distributions, when they draw down on the facility. For the full list of conditions, please refer to the market notice.

    Energy firms that are ultimately owned by banks, building societies, insurance companies, and other financial sector entities regulated by the Bank of England or the Financial Conduct Authority will not be eligible. Firms within groups that are predominantly active in business subject to financial sector regulation will also not be eligible.

    Energy firms will not be eligible if state-owned entities, national governments, regional governments and/or municipalities hold, directly or indirectly, more than 25 per cent of its issued securities and/or voting rights, and/or if such entities exercise direct or indirect control over the energy firm.

    If the ownership of the firm changes so that the above criteria for exclusion are met, no further loans shall be advanced under the scheme.

    Application process

    Firms can apply to the scheme for the next three months. Each loan facility agreement will last up to 12 months and will begin from when the guarantee is issued by the commercial lender.

    Applications will be assessed initially by the Bank of England, and then by Advisory Committee, who will make a recommendation for the Chancellor to decide whether to approve or reject an application.

    To apply for the scheme, please email EMFS-Applications@bankofengland.co.uk. For further details on the scheme, please visit here.