Tag: Treasury

The press release issued by HM Treasury on 16 March 2023.

A £27 billion tax cut for business and a trio of freezes to help families with the cost-of-living headlined the Chancellor’s Spring Budget.

• A £27 billion tax cut for business through radical ‘full expensing’ policy and capital allowances reform which will drive investment and growth.
• This government will simplify tax for SMEs with over 340,000 businesses in Scotland set to benefit.
• The broad shoulders of the UK mean that measures to ease cost-of-living burden will help more than halve inflation with the extension of Energy Price Guarantee kept at current level, and duties on fuel and a pub pint both frozen.
• Biggest ever set of reforms to remove the barriers that stop those on benefits, older workers, and those with health conditions who want to work from working.
• The government is launching the refocused Investment Zones programme to catalyse 12 high-potential knowledge-intensive growth clusters across the UK, including four across Scotland, Wales and Northern Ireland.

A £27 billion tax cut for business and a trio of freezes to help families with the cost-of-living headlined the Chancellor’s Spring Budget today, Wednesday 15 March.

Aimed at achieving long-term, sustainable economic growth that delivers prosperity with a purpose for the people of the United Kingdom, the Spring Budget breaks down barriers to work, unshackles business investment and tackles labour shortages head on.

Many of today’s decisions on tax and spending apply in Scotland, Wales and Northern Ireland. As a result of decisions that do not apply UK-wide, the Scottish Government will receive around an additional £320 million over 2023-24 and 2024-25.

Chancellor of the Exchequer, Jeremy Hunt said:

“Our plan is working – inflation falling, debt down and a growing economy.

“Britain is on a lasting path to growth with a revolution in childcare support, the biggest ever employment package and the best investment incentives in Europe.”

Scottish Secretary Alister Jack said:

“Today the Chancellor has set out a Budget which continues cost of living support and will deliver sustainable, long-term growth, helping us halve inflation and reduce our national debt.

“Maintaining the Energy Price Guarantee until June will save the average family £160 a year and gives certainty over their bills until summer. We’ve also made changes to Universal Credit to help people get back to work.

“Other UK Government direct investment in Scotland includes £8.6 million for Edinburgh’s world-class festivals, more than £1 million for five new vital community ownership projects, and investment in Scotland’s innovative high tech sector. The Chancellor has also confirmed there will be Investment Zones in all parts of the UK, building on Scotland’s two new Freeports.”

The Chancellor announced the government will pay the childcare costs of parents on Universal Credit moving into work or increasing their hours upfront, rather than in arrears – removing a major barrier to work for those who are on benefits. The maximum they can claim will also be boosted to £951 for one child and £1,630 for two children – an increase of around 50%.

The Chancellor went on to set out plans to continue to support households with cost-of-living pressures including keeping the Energy Price Guarantee at £2,500 for the next three months and ending the premium that over 4 million households pay on their prepayment meter, bringing their charges into line with comparable customers who pay by direct debit. Taken together with all the government’s efforts to help households with higher costs, these measures bring the total support to an average of £3,300 per UK household over 2022-23 and 2023-24.

To help household budgets further, the planned 11 pence rise in fuel duty will be cancelled and the 5p cut will be maintained for another twelve months, saving a typical driver another £100 on top of the £100 saved so far since last year’s cut.

The generosity of Draught Relief has also been significantly extended from 5% to 9.2%, so that the duty on an average draught pint of beer served in a pub both does not increase from August and will be up to 11 pence lower than the duty in supermarkets. The commitment to duty on a pub pint being lower than the supermarket has been termed the “Brexit Pubs Guarantee” by the Chancellor, and will support over 2,500 pubs and bars in Scotland.

The Chancellor also set out a comprehensive plan to remove the barriers to work facing those on benefits, those with health conditions and older workers. An increase in the pensions Annual Allowance from £40,000 to £60,000 and the abolition of the Lifetime Allowance will remove the disincentives to working for longer.

In line with the government’s vision for the UK to be the best place in Europe for companies to locate, invest and grow, a new first-in-Europe ‘full expensing’ policy will be introduced to boost business investment in an effective cut to corporation tax of £9 billion per year. This makes the UK the joint first most competitive capital allowances regime in the OECD and the independent Office for Budget Responsibility (OBR) forecast that this will increase business investment by 3% for every year it is in place. Mr Hunt signalled an intention to make this scheme – which covers equipment for factories, computers and other machinery – permanent when responsible to do so.

Accompanying forecasts by the OBR confirm that with the package of measures Mr Hunt set out today, the economy is on track to grow with inflation halved this year and debt falling – meeting all of Prime Minister Rishi Sunak’s economic priorities. This comes alongside the confirmation that there are no new tax rises within the Spring Budget.

Childcare

Significant reforms to childcare will remove barriers to work for parents receiving Universal Credit not working due to caring responsibilities, reducing discrimination against women and benefitting the wider economy in the process.

• Childcare costs of parents moving into work or increasing their hours on Universal Credit paid upfront rather than in arrears, with maximum claim boosted to £951 for one child and £1,630 for two children – an increase of around 50%.

Employment

The Chancellor set out a comprehensive plan to remove the barriers to work facing those on benefits, those with health conditions and older workers.

• Experienced workers such as senior doctors will benefit from an increase in the pensions annual allowance from £40,000 to £60,000.
• The Lifetime Allowance will also be abolished altogether, simplifying the tax system through taking thousands out of the complexity of pension tax and stopping over 80% of NHS doctors from receiving a tax charge for any additional hours worked.
• The midlife MOT offer will be expanded and improved to ensure people get the best possible financial, health and career guidance well ahead of retirement. There will be an enhanced digital midlife MOT tool and an expansion of DWP’s in person midlife MOTs for 50+ Universal Credit claimants, aiming to reach 40,000 per year.
• A DWP White Paper on disability benefits reform will herald the biggest change to the welfare system in the past ten years. By abolishing the Work Capability Assessment in Great Britain we will separate level of benefit entitlement from an individual’s ability to work.
• Strengthening work search and work preparation requirements for around 700,000 lead carers of children aged 1-12 claiming Universal Credit in Great Britain.
• Increasing the Administrative Earnings Threshold (AET), which determines how much support and Work Coach time a claimant will receive based on their earnings, for an individual claimant, from 15 to 18 hours at National Living Wage and removing the couples AET in Great Britain. Over 100,000 non-working or low-earning individuals will be asked to meet more regularly Work Coach support to move into work or increase their earnings.
• The application and enforcement of the Universal Credit sanctions regime will be strengthened, by providing additional training for Work Coaches to apply sanctions effectively, including for claimants who do not look for or take up employment, and automating administrative elements of the sanctions process to reduce error rates and free up work coach time.
• Elsewhere, international talent will be attracted through a new migration package that includes adding five construction occupations to the Shortage Occupation List.

Enterprise

The Chancellor put forward a plan to boost innovation, drive business investment and hold down energy costs.

• A ‘full expensing’ policy introduced from 1 April 2023 until 31 March 2026 and an extension to the 50% first-year allowance in the same period – a transformation in capital allowances worth £27 billion to businesses over five years.
• A £500 million per year package of support for 20,000 research and development (R&D) intensive businesses through changes to R&D tax credits.
• Generous reforms to tax reliefs for the creative sectors will ensure theatres, orchestras, museums and galleries are protected against ongoing economic pressures and even more world-class productions are made in the UK.
• The Medicines and Healthcare products Regulatory Agency (MHRA) will receive £10 million extra funding over two years to maximise its use of Brexit freedoms and accelerate patient access to treatments. This will allow, from 2024, the MHRA to introduce new, swift approvals systems, speeding up access to treatments already approved by trusted international partners and ground-breaking technologies such as cancer vaccines and AI therapeutics for mental health.
• All of the recommendations from Sir Patrick Vallance’s review into pro-innovation regulation of digital technologies, published alongside Spring Budget today, are to be accepted.
• £900 million of funding for an AI Research Resource and an exascale computer – making the UK one of only a handful of countries to have one – and a commitment to £2.5 billion ten-year quantum research and innovation programme through the government’s new Quantum Strategy.

Levelling Up

To level up growth across the UK and spread opportunity everywhere, local communities will be empowered to command their economic destiny.

• Business rates retention expanded to more areas in the next Parliament.
• Deliver 12 Investment Zones across the UK including 4 across Scotland, Wales and Northern Ireland; support local growth projects in every nation of the UK.
• We will also provide £8.6 million of funding to support the Edinburgh Festivals, and £1 million for 5 community projects in Scotland, including Aberfeldy Sports Club in Perthshire, repairs to the Inveraray Pier, and a community grocery shop and cafe in the Kyle Lochalsh in the Highlands.

The press release issued by HM Treasury on 15 March 2023.

Budget measures announced by the Chancellor are set to put powers and money in the hands of communities most in need.

Budget measures announced by the Chancellor are set to put powers and money in the hands of communities most in need, to help achieve the Prime Minister’s objective to grow the economy and level up across the UK. These measures will deliver more jobs, better services and more opportunities for local people.

A ground breaking devolution package and funding for community projects in the Budget will help further our ambitions to spread opportunity more equally.

The measures build on our place-based approach, as set out in the Government’s Levelling Up White Paper, to ensure targeted measures which best suit the unique economy, geography and expertise of each area.

The Government will be working closely with local leaders in key areas to help attract investment and unleash economic potential. These initiatives include:

Trailblazer devolution deals

• Two new trailblazer devolution deals will see money and powers handed directly to the Mayors of the West Midlands and Greater Manchester, including a direct funding settlement, devolution of post-19 skills funding and functions and greater control of the affordable homes programme.
• A new framework will ensure that decision-makers in areas with devolution deals are accountable to their residents and deliver value for money.
• These agreements are designed to pave the way for future deals in other Mayoral regions.

Investment Zones

• 12 Investment Zones across the UK to drive business investment and levelling up, each backed with £80 million over five years including generous tax incentives. Investment Zones will be based around research institutions such as universities and will be focused on driving growth in one of the UK’s key sectors.
• Eight places in England have been shortlisted to develop proposals in collaboration with the UK Government including the East Midlands; Greater Manchester; Liverpool; the North East; South Yorkshire; the Tees Valley; the West Midlands; and West Yorkshire.
• We are also working closely with the devolved administrations to establish how Investment Zones in Scotland, Wales and Northern Ireland will be delivered.

Levelling Up Partnerships

• The rolling out of Levelling Up Partnerships to provide bespoke place-based regeneration in an initial twenty of England’s areas most in need of levelling up over 2023-24 and 2024-25.
• Areas will be invited to form partnerships include the City of Kingston upon Hull, Sandwell, Mansfield, Middlesbrough, Blackburn with Darwen, Hastings, Torbay, Tendring, Stoke-on-Trent, Boston, Redcar and Cleveland, Wakefield, Oldham, Rother, Torridge, Walsall, Doncaster, South Tyneside, Rochdale, and Bassetlaw.
• This will build on the success of deep dives in Grimsby, which saw cross-government working to help avoid the effective closure of the town’s fish processing sector, and in Blackpool, which unlocked a £100 million regeneration plan.
• Partnership locations have been selected based on the analysis in the Levelling Up White Paper which considered places in England against four key metrics: the percentage of adults with Level 3+ qualifications; Gross Value Added (GVA) per hour worked; median gross weekly pay; and healthy life expectancy.
• The Government will consult with the Devolved Administrations and local government to explore potential options in Scotland, Wales, and Northern Ireland.

Through the Budget the government is also providing money for levelling up projects which will deliver benefits to communities, including through:

• Grants for 16 regeneration projects across England, worth a combined £211 million, in Blackburn with Darwen, Blackpool, East Suffolk, Kirklees, London Borough of Waltham Forest, North East Lincolnshire, Northumberland, Redcar and Cleveland, Rotherham, Salford, Sandwell, Tameside, Telford and Wrekin, Tendring, Wigan and Wolverhampton. These are regeneration projects that can start to spend and deliver quickly, including funding to revitalise town centres and transform derelict buildings for use by communities. These projects, including regeneration of Tipton town centre and a new skills and education campus in Blackburn, will help encourage investment, deliver high quality jobs and level up opportunities. Since the conclusion of the Levelling Up Fund round two, the department has identified further funding to support shortlisted regeneration and town centre bids that were originally made into the Fund.
• £161 million directly to Mayoral Combined Authorities for 32 regeneration projects in city regions across England, including business premises and food science facilities in Tees Valley, and major transport upgrades in the West Midlands. This funding is designed to give Mayors the resources they need to level up their areas and strengthen devolution
• Levelling up projects in the North West worth around £58 million in total, including transport connectivity improvements in Rossendale. Following the second round of the Levelling Up Fund, in which the full £2.1 billion allocation was awarded, the department is using unallocated departmental budgets to fund three further bids which narrowly missed out.
• 30 projects across the UK which will receive a total of £7.73 million from the Community Ownership Fund, bringing valued neighbourhood assets back to the community, including Tollesby playing fields in Middlesbrough and Inveraray pier in Argyll & Bute.

The Spring Budget 2023 takes DLUHC’s overall Levelling Up funding – including our flagship funds and grants – to more than £11 billion. This does not include the billions of pounds of investment from across Government into schools, transport and other services.

The press release issued by HM Treasury on 15 March 2023.

HM Treasury has announced that the Medicines and Healthcare products Regulatory Agency (MHRA) will receive £10 million to help bring innovative new medicines and medical technologies to UK patients more quickly.

A total of £10 million has been awarded to the Medicines and Healthcare products Regulatory Agency (MHRA) to help bring innovative new medicines and medical technologies to UK patients more quickly, HM Treasury has announced today. The funding will be used to accelerate routes for bringing innovative medical products developed in the UK onto the market, as well as those made and approved by other trusted regulatory partners globally.

The funding over the next two years will support development of a thorough but shortened process to speed up the approval process for cutting-edge treatments developed in the UK with the greatest opportunity to meet the UK’s healthcare priorities, such as cancer vaccines and AI-based therapeutics for mental ill-health.

It will also support the establishment of an international recognition framework, allowing the MHRA to capitalise on the expertise and decision-making of trusted regulatory partners and provide patients with fast-track access to best-in-class medical products that have been approved in other countries.

The MHRA will still be responsible for the approval of all ‘recognition route’ applications, ensuring that all products are of sufficient quality to be licensed in the UK and it will operate a robust process promoting patient safety and access to improve the health of the UK population.

Using the Agency’s pre-existing international partnerships developed through the Access Consortium and Project Orbis, the first regulatory partners that the MHRA intends to build new recognition routes with are the FDA, in the USA, and with the PMDA, in Japan.

Dr June Raine, MHRA Chief Executive, said:

“We greatly welcome the £10 million funding announced by HM Treasury today, which will be used to fund our ongoing innovation work and to accelerate the development of ground-breaking global recognition routes, which will give UK patients faster access to the most cutting-edge medical products in the world.”

“This cash injection will ensure that we have access to the best resources, talent, and infrastructure to deliver this ambitious vision for patients across the UK.”

Steve Barclay, Secretary of State for Health and Social Care, said:

“Technology is transforming our care for patients, delivering faster and more accurate diagnoses. This new funding will accelerate the delivery of cutting-edge treatments like cancer vaccines and new artificial intelligence technology that will make therapy more accessible to those who suffer from mental health conditions.

“It will also fast-track access to medical products that have been approved in other countries by trusted regulatory partners, ensuring we continue to provide the best, most innovative and safest treatments in the UK.”

The MHRA is a global leader in regulatory innovation. The MHRA Innovation Office was established in 2013 to provide healthcare innovators with access to world-class regulatory knowledge, expertise, and experience from within the MHRA. The Agency is continually building new, international partnerships to ensure that innovative treatments reach patients as quickly as possible. Scientific progress has been made at the Agency through highly successful internationally collaborative schemes such as the Access Consortium, which has enabled an approval for the vision-loss medicine faricimab, and Project Orbis, from which there have been eight approvals for new cancer medicines.

The press release issued by HM Treasury on 15 March 2023.

Millions of households will get more support with high energy bills to help ease the cost of living, the Chancellor has announced today ahead of the Spring Budget.

The press release issued by HM Treasury on 13 March 2023.

Silicon Valley Bank (UK) Ltd has today been sold to HSBC.  HSBC is headquartered in London, is the largest bank in Europe and is one of the world’s largest banking and financial services institutions, serving 39 million customers globally.  Customers of SVB UK will be able to access their deposits and banking services as normal from today.

This transaction has been facilitated by the Bank of England, in consultation with the Treasury, using powers granted by the Banking Act 2009.  No taxpayer money is involved, and customer deposits have been protected.

Making use of post-crisis banking reforms, which introduced powers to safely manage the failure of banks, this sale has protected both the customers of SVB UK and taxpayers.

The UK has a world leading tech sector, with a dynamic start-up and scale-up ecosystem and the government is pleased that a private sector purchaser has been found.

Chancellor Jeremy Hunt said:

“The UK’s tech sector is genuinely world-leading and of huge importance to the British economy, supporting hundreds of thousands of jobs. I said yesterday that we would look after our tech sector, and we have worked urgently to deliver on that promise and find a solution that will provide SVB UK’s customers with confidence.

“Today the government and the Bank of England have facilitated a private sale of Silicon Valley Bank UK; this ensures customer deposits are protected and can bank as normal, with no taxpayer support. I am pleased we have reached a resolution in such short order.

“HSBC is Europe’s largest bank, and SVB UK customers should feel reassured by the strength, safety and security that brings them.”

The press release issued by HM Treasury on 12 March 2023.

The Bank of England announced on Friday that Silicon Valley Bank UK is set to enter insolvency, following action taken by its parent company in the United States. The Bank of England confirmed in its announcement that Silicon Valley Bank has a limited presence in the UK and does not perform functions critical to the financial system.

The government and the Bank understand the level of concern that this raises for customers of Silicon Valley Bank UK, and especially how it may impact on cashflow positions in the short term.

The UK has a world leading tech sector, with a dynamic start-up and scale-up ecosystem. The government recognises that, given the importance of Silicon Valley Bank to its customers, its failure could have a significant impact on the liquidity of the tech ecosystem.

The government is treating this issue as a high priority, with discussions between the Governor of the Bank of England, the Prime Minister and the Chancellor taking place over the weekend. The government is working at pace on a solution to avoid or minimise damage to some of our most promising companies in the UK and we will bring forward immediate plans to ensure the short term operational and cashflow needs of Silicon Valley Bank UK customers are able to be met.

The press release issued by 10 Downing Street on 10 March 2023.

Prime Minister Rishi Sunak and President Emmanuel Macron expected to agree new approaches to challenges including migration, energy security and the threat from Russia.

The Prime Minister, President Macron and British and French Cabinet ministers will gather in Paris today for the UK-France Summit. Talks will focus on fortifying our partnership to tackle shared challenges including stopping small boats, securing our domestic energy supplies and protecting our people against the threat from Russia and elsewhere.

At the first bilateral summit of British and French leaders since the coronavirus pandemic and Putin’s full-scale invasion of Ukraine, the Prime Minister and President Macron will discuss how to transform our deep and historic alliance so we are fully equipped to tackle the threats of the future.

Over the past decade the UK and France have routinely been NATO’s first and second biggest European contributors. We are the only European allies to be permanent members of the UN Security Council and the only nuclear powers in the region. The UK and France therefore have a responsibility to work together to guarantee Europe’s security.

Since 2010, the expansive defence partnership between the UK and France has been driven by the agreements made in the Lancaster House Treaties, treaties which established France as the UK’s closest defence and security partner other than the United States.

Under the Lancaster House treaties the UK and France established the Combined Joint Expeditionary Force (CJEF), which sees more than 10,000 British and French personnel ready to deploy together in response to a crisis. The CJEF sits alongside the UK’s other alliances in Europe, including the Joint Expeditionary Force of northern European nations and NATO – all tangible demonstrations of the UK’s commitment to uphold the continent’s security and prosperity.

The UK will further that commitment next year by hosting the fourth gathering of the European Political Community – a meeting of likeminded European leaders with shared values to coordinate on some of the most pressing geopolitical issues we face.

The Prime Minister said:

Our deep history, our proximity and our shared global outlook mean that a firm partnership between the UK and France is not just valuable, it is essential.

From tackling the scourge of illegal migration to driving investment in one another’s economies the work we do together improves the lives of each and every person in our countries. Beyond that, the UK and France also have a privileged role as defenders of European and global security.

As we face new and unprecedented threats, it is vital that we fortify the structures of our alliance so we are ready to take on the challenges of the future. That is what we will do at the UK-France Summit today.

Russia’s actions pose the biggest threat to European, and global, security. The Prime Minister and President Macron will hold discussions today on strengthening NATO to protect our people as well as bolstering Ukraine’s self-defence, both now and in the long-term.

As part of their talks, the Prime Minister and President Macron are expected to agree to further enhance UK-France military interoperability and industrial cooperation, including agreeing to scope the co-development of next-generation deep precision strike weaponry – the kind of long-range capability which NATO needs to protect against the growing threat from Russia.

To support Ukraine in their struggle for their sovereignty, the Prime Minister and President Macron are also expected to agree to further coordinate both the supply of weapons to Ukraine and the training of Ukrainian Marines. The UK has already trained 11,000 troops since last summer, and we recently expanded our training to include Ukrainian pilots. Bolstering these efforts through further joint UK and French training could see thousands more Ukrainians brought to battlefield readiness.

The Prime Minister and President Macron will also discuss the role that NATO members can play in providing Ukraine with the security assurances they need to defend themselves in the long-term.

Beyond our immediate neighbourhood, the UK and France are also the European nations with the largest presence in the Indo-Pacific – a region crucial for our protection and prosperity, whose security is indivisible from that of Europe.

The Prime Minister and President Macron will discuss how to combine our strengths in the area to ensure permanent presence of likeminded European partners. This includes establishing the backbone to a permanent European maritime presence in the Indo-Pacific through the sequencing of more persistent European carrier strike group presence – coordinating the deployment of France’s Charles de Gaulle aircraft carrier, and the UK’s Queen Elizabeth and Prince of Wales carriers.

Alongside discussions on deepening the defence partnership between our countries, the leaders will also look at ways to transform our cooperation on issues including tackling illegal migration. This will build on the agreements made in 2022 to make the small boat route across the Channel unviable, save lives and dismantle organised crime groups while preventing illegal migration further upstream.

Last year our partnership with the French stopped more than 30,500 illegal crossings – nearly twice as many as in 2022.

The press release issued by HM Treasury on 9 March 2023.

The UK has announced its support of Ajay Banga for World Bank Group President.

“The UK, a long-standing partner of the World Bank, has announced its support of Ajay Banga for World Bank Group President. Mr Banga brings decades of experience leading global organisations, and a strong track record in establishing private – public partnerships. He will bring energy to the World Bank Group as it steps up its effort to tackle global challenges from extreme poverty to climate change.

“The Development Minister Andrew Mitchell and Chancellor of the Exchequer Jeremy Hunt met Mr Banga to discuss UK priorities for the World Bank and mobilising more resources, including from the private sector.
“The UK has played a leading role in shaping the Bank since its inception, as the joint-fifth largest shareholder of the International Bank for Reconstruction and Development (IBRD) and the third largest contributor to the International Development Association (IDA). The Bank will be a close partner in delivering the three-pronged approach to international development set out by Andrew Mitchell.

“Reflecting on Mr Banga’s recent visits to Côte d’Ivoire and Kenya, both of whom have since endorsed his candidacy, as well as the recent support of India, Andrew Mitchell reiterated the importance of engaging with, listening to, and delivering for all the countries that borrow from the World Bank and for the world’s poorest people – something that has always been a key priority of the UK.

“With the publication of the UK’s Women and Girls Strategy, Minister Mitchell expressed his hope that Mr Banga will be a proud advocate for gender equality and the empowerment of all women and girls, helping secure sexual and reproductive health and rights in developing countries.”

The press release issued by HM Treasury on 9 March 2023.

James Ireri, 44, from Surrey, has been banned for seven years after abusing two different Covid loan schemes during the pandemic.

Ireri was the director of Safi Care Ltd, which traded as a recruitment business from Surrey, supplying staff to care homes, from its incorporation in February 2015 until it went into liquidation in August 2021. The company had first traded as Safi Services Ltd until March 2016.

In May 2020, Ireri applied for a £50,000 Bounce Back Loan – the maximum amount allowable – for the company.

Bounce Back Loans were a government scheme to support businesses during the COVID-19 pandemic, whereby companies could apply for loans of up to 25% of their 2019 turnover, up to a maximum of £50,000.

Yet in August 2020, Ireri applied for another loan of £100,000 on behalf of Safi Care Ltd, this time from a different lender, and through a different Covid support scheme, the Coronavirus Business Interruption Loan.

Under the rules of the Covid loan schemes, eligible businesses were able to apply for a single loan under one or the other of the schemes, but not both. However, a business could obtain a second loan if the money was used to repay the first in full.

But when Safi Care Ltd went into liquidation in August 2021, the company owed more than £231,500, including the full amount of both loans.

An investigation by the Insolvency Service was triggered, but Ireri failed to provide adequate company accounts and investigators were unable to determine whether Safi Care Ltd had ever been eligible to apply for the initial Bounce Back Loan, based on the company’s 2019 turnover.

The lack of company books also meant that Ireri was unable to prove that he had used the loan money for the economic support of the business – another condition of the scheme.

Investigators discovered that more than £491,300 had been withdrawn from the company bank account between May 2020, when the first loan was received, and July 2021, shortly before Safi Care went into liquidation, including more than £80,000 for personal spending and around £93,900 of transfers into Ireri’s personal bank accounts.

The Secretary of State accepted a disqualification undertaking from James Ireri after he did not dispute he had caused Safi Care Limited to breach the terms of two Covid Support loans by failing to repay the Bounce Back Loan after obtaining the Interruption Loan, and by failing to provide adequate evidence of the company’s turnover or how the loan funds were used.

His ban started on 8 December 2022, and lasts for seven years. The disqualification prevents him from directly or indirectly becoming involved in the promotion, formation or management of a company, without the permission of the court.

Neil North, Deputy Head of Investigation at the Insolvency Service, said:

“Bounce Back Loans and Covid Business Interruption Loans were designed to provide vital support for viable businesses through the pandemic. James Ireri abused not one, but two of these schemes.

“His ban should serve as a warning to other directors who misuse financial support available to companies that the Insolvency Service is able to bring your actions to account and remove you from the corporate arena.”

The press release issued by HM Treasury on 9 March 2023.

Experts appointed to identify best practice in turning university research into commercial success.

• Professor Irene Tracey CBE and Dr Andrew Williamson appointed to lead review into turning university research into commercial success.
• The independent review will identify best practice in the field to promote innovation and grow businesses of the future, as part of the Chancellor’s vision to nurture the world’s next Silicon Valley.
• Both experts will work hand-in-hand with universities, investors, and founders to advise government on how to continue to capitalise on the UK’s world-leading university research.

Two leading university and investor experts have been appointed to identify best practice in turning university research into commercial success, in order to help the UK fulfil its ambition to become a Science and Technology Superpower.

Professor Irene Tracey CBE, Vice-Chancellor of the University of Oxford and member of the Medical Research Council of UK Research and Innovation, and Dr Andrew Williamson, Chair of the Venture Capital Committee at the British Private Equity & Venture Capital Association (BVCA), will consult with universities, investors, and founders to identify best practice in university spin-outs – companies born through university research.

The financing of innovative science and technology companies like these is a key tenet of the UK Science and Technology Framework, with a view to strengthening the pipeline of high-quality science and technology businesses and spin-outs that drive growth in the economy across this decade.

The review aims to evaluate performance across universities and identify best practice in spin-outs and licencing deals for university intellectual property to promote the continued growth of the sector, which upholds the UK’s role at the forefront in seeding and growing innovative businesses of the future.

The UK university sector is a world-leader, playing an integral role in supporting economic growth and fuelling innovation across the country. The commercialisation of its research has also been on an upward trajectory over the last decade – investment in UK university spin-outs has increased more than five-fold to £5 billion in 2021.

The review launched today will seek to build upon those strengths, harnessing them to boost global competitiveness with other leading spin-out regimes like the US.

Chancellor of the Exchequer Jeremy Hunt said:

“Our universities are among the world’s best and are crucial driving forces for innovation and economic growth.

“We want the UK to be the world’s next Silicon Valley and to get there the government must help spin-outs to thrive. The expertise of Professor Tracey and Dr Williamson will be invaluable in ensuring we have the right support in place.”

Secretary of State for Science, Innovation and Technology Michelle Donelan said:

“UK universities are long-established global leaders in research and it’s no accident that four of the world’s top ten universities call Britain home.

“However, our world-leading research apparatus hasn’t always translated into the raft of game-changing business giants you would expect. We can and will do more to support university spin-outs to become global business titans that generate highly-skilled jobs and rapid economic growth for the UK. This review will clearly set out the actions we can take to make sure the UK is the ultimate incubator for world class innovative business.”

Professor Irene Tracey CBE and Dr Andrew Williamson said:

“We are delighted to be involved with this timely and important review. We recognise the fundamental role that university spin-outs play in driving UK economic growth and in stimulating an entrepreneurial culture and ecosystem in Britain.

“Now is the time to review what the best processes are for both creating and structuring spin-outs so that we’re ready for this anticipated expansion in innovation clusters around the country. We look forward to partnering with stakeholders from the academic, entrepreneurship, and investment communities to identify opportunities to increase the impact of this important sector of our economy.”

Professor Tracey and Dr Williamson will report back to the Chancellor and the Secretary of State for Science, Innovation and Technology in the summer.