Source · Select Committees · Business and Trade Committee
Recommendation 4
4
Paragraph: 20
We welcome that many individuals who have not been able to access furlough or SEISS...
Conclusion
We welcome that many individuals who have not been able to access furlough or SEISS will have had support through Universal Credit, discretionary grants from local authorities, and mortgage and consumer credit holidays. However, we are disappointed by the Government’s suggestion that these are a sufficient replacement for individuals unable to access furlough or SEISS support. The repeated use of the risk of fraud as an adequate justification for not addressing gaps in support for workers is also unconvincing.
Paragraph Reference:
20
Government Response
Acknowledged
HM Government
Acknowledged
23. We recognise that some of the eligibility criteria and conditions that are vital to ensuring that these specific schemes worked for the vast majority meant that, in some hard cases, some people did not qualify for the CJRS or SEISS. The schemes were designed with two principles in mind: i) First, the need to target support at those who need it most. To achieve that, the Government had to set clear rules. That is why the CJRS was capped at £2,500 per month, and that is why the Government said that those eligible to claim from the SEISS must have made profits of no more than £50,000 from self-employed activity. ii) Second, the need to protect public money against error, fraud, and abuse, whilst reaching as many people as possible. That meant using data already held on HMRC systems to enable processing claims quickly and easily and ensuring that the Government balances its duty to support individuals with its responsibility to protect taxpayer money from fraud and abuse.