Day: February 7, 2018

Parliament has today (7 February 2018) approved the funding settlement for English local authorities that will see a real terms increase in available resources over the next 2 years and give them access to over £200 billion from 2015 to 2020 to deliver the high-quality services their local communities need.

Ahead of today’s Parliamentary debate Communities Secretary announced extra funding to help local authorities meet the needs of vulnerable people and support services in rural areas.

A further £150 million will be available to those councils providing adult social care. In addition, £16 million will be made available to councils providing services in rural areas, taking the total rural services grant to £81 million – the highest it has ever been.

This follows consultation with local government on the funding plans announced in December that included giving councils additional financial freedoms to deliver services for their most vulnerable residents while protecting Council Tax payers from excessive increases in their bills. The threshold at which councils must hold a referendum before raising Council Tax has been set in line with inflation at 3%.

Ten additional business retention rates pilots – for areas of varying sizes and location – were also confirmed. These areas will keep 100% of growth in business rates, which will stay in communities and be spent on local priorities.

Secretary of State for Housing, Communities and Local Government, Sajid Javid said:

Parliament has today approved a settlement that strikes a balance between relieving growing pressure on local government whilst ensuring that hard-pressed taxpayers do not face excessive bills.

We have listened to representations made and delivered on these requests: a real terms increase in resources over the next 2 years, more freedom and fairness, and greater certainty to plan and secure value for money.

Government has also launched a review of local authorities’ needs and resources to enable a new funding system to be devised. Ministers are encouraging local authorities to respond to the consultation ahead of the deadline on 12 March 2018.

Further information

The settlement for local government sees a real terms increase in resources to local government over the next 2 years (£44.3 billion in 2017 to 2018 to £45.6 billion in 2019 to 2020)

In December the threshold at which local authorities must hold a referendum in order to raise Council Tax was confirmed in line with inflation (3%).This change, combined with the additional flexibility on the Adult Social Care precept confirmed last year, gives local authorities support in relieving pressure on local services – including adults and children’s social care.

Following feedback from the sector as part of the consultation, the government has today also announced some additional measures:

• £150 million Adult Social Care Support Grant in 2018 to 2019
• a further £16 million for Rural Services Delivery Grant in 2018 to 2019 to allow for funding commensurate with 2016 to 2017 levels

In December, 10 additional business retention rates pilots – for areas of varying sizes and location – were confirmed. It is expected that combined these will raise over £150 million in 2018 to 2019, which will stay in communities and be spent on local priorities.

The Communities Secretary also published a consultation on need and resources in December that aims to implement a new system based on its findings in 2020 to 2021.

The Low Pay Commission (LPC) welcomes the Government’s response to the Taylor review of modern working practices

Bryan Sanderson, Chair of the Low Pay Commission said:

The LPC’s view has always been that ‘good work’ is relevant to all workplaces, irrespective of earnings or hours worked, and we were pleased to see this set out in the Taylor review. In particular we supported the review’s highlighting of practices for some low-paid workers, which in some cases result in one-way flexibility benefiting only the employer.

As such, we welcome the Government’s response to the review and look forward to considering the potential of a premium rate of the National Minimum Wage, as well as other possible solutions to the issue of one-sided flexibility. We will use our experience, knowledge, and analysis and work with our stakeholders to provide evidence-based advice to the Government.

We are particularly pleased that the Government has committed to implementing the recommendation on payslips that we made in our Spring 2016 Report. This required employers to provide hourly-paid staff with a payslip that clearly states the number of hours they are being paid for. Government has gone further than this, extending the right to payslip to all workers, not just employees. This will make these rights easier to both communicate and understand and therefore aid compliance

Notes:
1. The Low Pay Commission is an independent body made up of employers, trade unions and experts whose role is to advise the Government on the minimum wage. The National Living Wage is the legally binding pay floor for workers aged 25 and over. The other minimum wage rates comprise: the 21-24 Year Old Rate, the 18-20 Year Old Rate, the 16-17 Year Old Rate and the Apprentice Rate.
2. The LPC’s remit prescribes different requirements in relation to the NLW than for the four other bands of the minimum wage. For the NLW we are asked to make recommendations on the pace of increase towards a target: an ‘ambition…that it should continue to increase to reach 60 per cent of median earnings by 2020, subject to sustained economic growth’. For the other rates we are asked to ‘help as many low-paid workers as possible without damaging their employment prospects’.
3. Our full recommendations for April 2018 and underpinning analysis were published in our 19th report. The rationale for our recommendations is also included in a letter from the LPC Chair to the Secretary of State for Business, Energy and Industrial Strategy.

Press enquiries

8th Floor
Fleetbank House
2-6 Salisbury Square
London
EC4Y 8JX

Email lpc@lowpay.gov.uk

Telephone 020 7211 8772

Out of hours 07720 212676

Share this page

Share on Facebook Share on Twitter

Minister Burt said:

The UK strongly condemns the Israeli government’s decision to establish a second new settlement deep in the West Bank in less than a year. These plans could involve the retroactive ‘legalisation’ of the outpost of Havat Gilad.

Settlements are illegal under international law and undermine the physical viability of the two-state solution. We call on both parties to refrain from actions which make peace more difficult.

Further information

• Follow Minister Burt on Twitter @AlistairBurtUK
• Follow the Foreign Office on Twitter @foreignoffice and Facebook
• Follow the Foreign Office on Instagram, YouTube and LinkedIn

UK Export Finance (UKEF) has made three appointments to its senior management to enhance its capability and capacity to realise the ambitions set out in its Business Plan for 2017-20.

• Richard Simon-Lewis, Head of Origination, Client Coverage, Marketing and Communications
• Adam Harris, Head of Civil, Infrastructure and Energy
• Andy Blacksell, Head of Underwriting Policy and Products

They will help UKEF implement its strategy to lead with finance, bring major international business opportunities to the UK and help UK companies better compete for business around the world.

Additional recruitment into senior roles across UKEF’s policy and operations divisions to build the department’s capacity and expertise further is planned for the coming months.

Louis Taylor, UKEF’s Chief Executive Officer, welcomed Richard, Adam and Andy to their roles, saying:

I am very pleased to announce these appointments into key positions as we look to deliver world-leading finance to help the UK’s world-leading exporters grow their business internationally.

Richard, Adam and Andy will bring the expertise, creativity and ambition required to help UKEF realise its aim to be the best export credit agency in the world.

Richard Simon-Lewis, Head of Origination, Client Coverage, Marketing and Communications

Richard will focus on seeking and securing global opportunities for UK exporters:

• helping to connect UK capability with international demand
• raising awareness of UKEF’s support among exporters and overseas buyers
• generating new business both at home and abroad
• helping to develop a new network of international advisers, to support UKEF’s overseas activity across 20 different markets

Richard commented:

In the last year, UKEF has enhanced its reputation as a world-leading export credit agency, from extending short-term finance to the UK supply chain, to expanding our overseas buyer finance to 62 local currencies. We are better placed than ever before to support UK exports.

I want to ensure UK exporters and their buyers can realise the full benefits of that, and am excited to be leading UKEF’s international drive to bring these major opportunities to the UK.

Adam Harris, Head of Civil, Infrastructure and Energy

Adam will manage and develop UKEF’s growing team of 30 specialist underwriters, responsible for delivering and enhancing UKEF’s support for the civil, infrastructure and energy sectors.

Adam commented:

I am delighted to be leading UKEF’s civil, infrastructure and energy underwriting division at an exciting time for UK exports and international trade.

By working closely with our customers and their overseas buyers, and growing our capacity to do ever more business in these vital sectors in which the UK is a recognised leader, we can help UK businesses thrive internationally.

Andy Blacksell, Head of Underwriting Policy and Products

Andy will focus on the development and delivery of products that UK exporters need to support them in making the most of trading internationally, with greater pace, efficiency and capacity.

Andy commented:

UKEF’s offering must remain agile and adaptable, so I am excited to be able to take this role to ensure our product range continues to evolve in a way that is both evidence-based and, crucially, puts the needs of UK exporters first.

Background

Richard has over 25 years’ experience in structured financing, heading up energy and infrastructure units at leading project and export institutions.

In 2016, he became UKEF’s Head of Civil, Infrastructure and Energy and led the division through a period of significant growth, as well as pioneering an innovative new ‘supplier fair’ model which has connected hundreds of UK companies with opportunities worth hundreds of millions on major international projects.

Adam began his career in the Civil Service Fast Stream, gaining experience in a range of positions, including credit risk analysis at UKEF, as well as policy at HM Treasury and HM Revenue and Customs. He spent over five years in UKEF’s aerospace underwriting division, before becoming Chief of Staff to Louis Taylor, UKEF Chief Executive, in 2016.

Andy has over 15 years’ experience at UKEF, spanning roles as a country policy officer for sub-Saharan Africa and an underwriter in UKEF’s civil, aerospace and defence sector teams, as well as managing the department’s transition through landmark changes to its governing statute in 2015.

The Secretary of State for Business, Energy, & Industrial Strategy has accepted disqualification undertakings from the five directors of McCaskill & Morse Ltd (McCaskill). Timothy Chapple has been disqualified for eight years, Richard Adams for six, Catherine Wood for five, Gary Richards for five and James Bell for four years.

The five directors are now prevented from acting as a director of a company, they cannot take part, directly or indirectly, in the promotion, formation or management of a company or limited liability partnership, as well as being unable to be a receiver of a company’s property.

McCaskill was first incorporated in March 2012, offering claims management services for people miss-sold payment protection insurance and bank charges reclaims.

But clients started to complain to the Ministry of Justice, the regulators of the claims management sector, that while McCaskill claimed to offer a no-win-no-fee service, they had failed to return upfront fees and were often late paying refunds following unsuccessful claims.

The Ministry of Justice issued a warning to McCaskill that they were engaging in unfair trading practices before the company was put into administration in November 2015.

The Insolvency Service investigated McCaskill after it had gone into administration and found that the claims management company had failed to repay upfront fees to clients who were due a refund.

Using complaints data, the Insolvency Service also found that clients received their refunds between 180 and 380 days after the start of the claims process, exceeding the contract terms that stated McCaskill would pay refunds within 90 days.

Further investigations showed that, during their directorships, Mr Bell and Mr Richards failed to properly deal with complaints, prevent delays on refunds and return upfront fees to clients. McCaskill also failed to inform the Ministry of Justice about changes to its business model, including the charging of up-front fees which they had previously declared it did not intend to charge.

Investigators concluded that McCaskill had been engaging in unfair trading practices in breach of the Conduct of Authorised Persons Rules 2006 and 2013 (COAPRs). This meant that they had failed to comply with the Compensation (Claims Management Services) Regulations 2006.

Following the disqualification orders, Robert Clarke, Investigations Group Leader at the Insolvency Service said:

Compensation regulations are there to protect the general public from unfair sales techniques by companies operating within the claims management sector.

It’s ironic that McCaskill, a company established to support consumers claw back money owed to them, consistently failed to return what was rightfully owed to their clients.

The length of the bans should serve as a warning to other directors who may feel tempted to breach legislation intended to protect the public, that the Insolvency Service will seek lengthy periods of disqualification.

He added: “I would also like to thank my colleagues at the Ministry of Justice and the Legal Ombudsman for their hard work and co-operation in achieving this outcome.

Notes to editors

McCaskill & Morse Ltd (Company Registration No. 08002835) was placed into administration on 11 November 2015 with a deficiency as regards creditors of £93,700. The company which was incorporated on 2 March 2012, traded in claims management, offering claims management services including mis-sold payment protection insurance and bank charges reclaims. McCaskill traded from Suite 1, 4th Floor, Alexandra House, Alexandra Road, Swansea, SA1 5ED.

Mr Chapple, of Tackley, Kiddlington, date of birth December 1976, has been disqualified for eight years commencing 22 December 2017.

Mr Adams, of Swansea, date of birth August 1977, has been disqualified for six years commencing 23 January 2018.

Mrs Wood, of Swansea, date of birth January 1980, has been disqualified for five years commencing 24 October 2017.

Mr Richards, of Swansea, date of birth July 1974, has been disqualified for five years commencing 19 October 2017.

Mr Bell, of Swansea, date of birth October 1983, has been disqualified for four years commencing 18 October 2017

A disqualification order has the effect that without specific permission of a court, a person with a disqualification cannot:

• act as a director of a company
• take part, directly or indirectly, in the promotion, formation or management of a company or limited liability partnership
• be a receiver of a company’s property

Disqualification undertakings are the administrative equivalent of a disqualification order but do not involve court proceedings.

Persons subject to a disqualification order are bound by a range of other restrictions.

The Insolvency Service, an executive agency sponsored by the Department for Business, Energy and Industrial Strategy (BEIS), administers the insolvency regime, and aims to deliver and promote a range of investigation and enforcement activities both civil and criminal in nature, to support fair and open markets. We do this by effectively enforcing the statutory company and insolvency regimes, maintaining public confidence in those regimes and reducing the harm caused to victims of fraudulent activity and to the business community, including dealing with the disqualification of directors in corporate failures.

BEIS’ mission is to build a dynamic and competitive UK economy that works for all, in particular by creating the conditions for business success and promoting an open global economy. The Criminal Investigations and Prosecutions team contributes to this aim by taking action to deter fraud and to regulate the market. They investigate and prosecute a range of offences, primarily relating to personal or company insolvencies.

The agency also authorises and regulates the insolvency profession, assesses and pays statutory entitlement to redundancy payments when an employer cannot or will not pay employees, provides banking and investment services for bankruptcy and liquidation estate funds and advises ministers and other government departments on insolvency law and practice.

Further information about the work of the Insolvency Service, and how to complain about financial misconduct, is available.

Contact Press Office

Media enquiries for this press release – 020 7674 6910 or 020 7596 6187

You can also follow the Insolvency Service on:

• Twitter
• LinkedIn
• YouTube