Press release: New Charity Investigation: Combined Funds Limited

The Charity Commission, the independent regulator of charities in England and Wales, has opened a statutory inquiry into Combined Funds Limited and frozen the charity’s bank accounts. The inquiry was opened on 27 March 2018.

The purposes of Combined Funds Limited are to advance religion in accordance with the Jewish Orthodox faith and to relieve poverty, and they do this by making donations to other charitable organisations. In the financial year ending 2016, the charity had an income of over £700,000 with net assets over £6.5m. The charity also has 9 trading subsidiaries.

The Commission initially opened a compliance case in 2017 following concerns that the charity had been operating for a prolonged amount of time without having registered with the Commission. The Commission notified the charity’s trustees of the issue and they have since submitted an application to register. During this engagement, the Commission assessed the charity’s financial accounts and bank records and identified a number of serious regulatory concerns over the governance and administration of the charity.

The Commission is concerned in particular about potential conflicts of interest and connected party transactions given that the 3 trustees of the charity are all related and in 8 of the trading subsidiaries the sole director is also a trustee of the charity.

Despite the charity’s main activity being making grants to other charitable organisations, there is no formally agreed grant-making policy in place. Therefore it is unclear how beneficiaries are selected, whether any due diligence is carried out or whether there are appropriate processes in place to monitor the end use of the funds.

The inquiry will look at:

  • the administration, governance and management of the charity by the trustees with specific regard to whether the trustees have ensured that:
    • any trading carried out by the charity or its trading subsidiaries is compliant with current legislation;
    • the charity has adequate control systems in place and that the trustees are responsibly and prudently managing the charity’s resources and financial affairs
    • any loans or investments by the charity have been properly protected and authorised and have been made in the charity’s best interests;
    • conflicts of interest and transactions with connected parties have been adequately managed
    • the receipt of any payments and benefits to trustees and connected parties have been validly authorised in accordance with the provisions of the charity’s Governing Document
    • how the charity has managed its relationship with its trading subsidiaries, ensures the relationship is in the charity’s best interest and that its interests in the trading subsidiaries are properly protected
  • the extent to which the charity operates for the public benefit, and
  • the extent to which any failings or weaknesses identified in the administration of the charity during the conduct of the inquiry were a result of misconduct and/or mismanagement by the trustees

As a result of its concerns the Commission has made an order under Section 76 of the Charities Act to the charity’s bank, restricting any application of the charity’s funds without the prior written approval of the Commission. The charity’s registration application is currently on hold pending the outcome of the inquiry.

It is the Commission’s policy, after it has concluded an inquiry, to publish a report detailing what issues the inquiry looked at, what actions were undertaken as part of the inquiry and what the outcomes were. Reports of previous inquiries by the Commission are available on GOV.UK.

Ends

Notes to editors

  1. The Charity Commission is the regulator of charities in England and Wales. To find out more about our work see the about us page on GOV.UK.
  2. Search for charities on our check charity tool.
  3. Section 46 of the Charities Act 2011 gives the Commission the power to institute inquiries. The opening of an inquiry gives the commission access to a range of investigative, protective and remedial legal powers.

Press office

Link: Press release: New Charity Investigation: Combined Funds Limited
Source: Gov Press Releases

Press release: Cash collection bosses disqualified for holding onto £5.8m

Doreen, Sean, Joanne and John Baker were all were directors of Coin Co International Plc (Coin Co) based in Burgess Hill, West Sussex, providing cash collections in transit services to local government, public bodies, charities, other organisations and businesses. The company also provided counting and foreign exchange coinage services.

The company was incorporated in January 1995 and its cash-in-transit services were undertaken under agreements which stipulated that the money collected, for example from car parks, was counted, banked and paid over to the customer.

However, Coin Co fell behind with payments of collected funds to their clients from at least March 2013, more than a year before it went into administration in November 2014, breaching contracts it had entered into.

At administration, Coin Co had assets of £1,866,066 and liabilities of £11,397,211 and investigators looked at the company’s activities, discovering several instances of mismanagement.

In one case, four different customers were owed £5.8 million by Coin Co who had collected funds on their behalf but had not returned the money, directly breaching previous agreements.

The directors did not dispute the findings of the investigation, which, among other things, found that, they:

  • held on to £5.7m of clients money, in contravention of their contract
  • caused or allowed the company to breach commercial agreements relating to a coin collection service provided to a number of clients
  • allowed the company to fall behind with payments of collected funds to its clients from at least March 2013

John, Doreen, Joanne and Sean Baker, provided disqualification undertakings to the Secretary of State for Business, Energy, Innovation and Science, effective from 3 May 2018, for eight years each.

Doreen, Sean and Joanne Baker were appointed directors on 30 January 1995 and John Baker was appointed as a director on 1 January 1998. The disqualifications prevent the directors from directly or indirectly becoming involved in the promotion, formation or management of a company for the duration of their terms.

Robert Clarke, Investigations Group Leader at the Insolvency Service commented:

It is clear that companies handling money on behalf of others have a duty to ensure that funds collected are duly paid over to the rightful owners, under the agreements entered into. Directors who fail in these duties will be investigated and removed from the corporate arena for a lengthy period.

Any individual who is registered as a director must make themselves aware of the duties such a position carries with it, and further that they are able and willing to carry out those duties and ensure that the business for which they hold responsibility is managed in compliance with its obligations under agreements entered into or they too may face disqualification in the event of failure.

Notes to editors

Coin Co International Plc (Company number 03015844) was incorporated on 30 January 1995 and went into administration on 27 November 2014. At Administration it had assets of £1,866,066 and liabilities of £11,397,211.

Both John (Date of birth: June 1947) and Doreen Baker (Date of birth: July 1946) reside in Hassocks, West Sussex. Sean Baker (Date of birth: 22 June 1970) resides in Burgess Hill, West Sussex and Joanne Baker (Date of birth: 10 February 1972) resides in Brighton.

In giving their disqualification undertakings, John Francis Baker, Doreen May Baker, Sean Baker and Joanne Baker, did not dispute that:

  • they caused or allowed Coin Co International Plc (“Coin Co”) to breach commercial agreements relating to a coin collection service provided to a number of clients, in that Coin Co failed to pay client monies collected on behalf of clients, at least four of which entered into contracts which specifically stated that ownership of funds collected never passed to Coin Co, resulting in an amount outstanding to those clients at the date of the Administration of at least £5,757,759 included in a total amount outstanding to all cash in transit clients of at least £6,154,948, which is material to Coin Co’s deficiency at administration of £8,078,316
  • Coin Co entered into agreements with clients for the collection, counting and banking of coins received, for example, from pay and display car parks and charity collections
  • Coin Co fell behind with payments of collected funds to its clients from at least March 2013
  • at least four contracts entered into with clients specifically stated that the funds collected were not the property of Coin Co and must be paid over to the clients within a specified number of days. Coin Co would then invoice the client for the agreed service charge outstanding to them. These four clients were due £5,757,759 at administration in relation to funds held by Coin Co not paid over as per the terms of their contracts. These monies dated back to collections made from July 2013 onwards, and were due to be paid over between four and ten days after the cash was collected
  • from at least 1 October 2013, when the co-directors were in dispute with a major client as to Coin Co’s claim that historic sums were owed to Coin Co by that major client in respect of replenishments, they caused or allowed Coin Co to act at risk of and to the detriment of clients other than the major client (the other clients) in that:
    • in the knowledge that the major client denied owing sums to Coin Co for replenishments the co-directors failed to preserve monies collected on behalf of the other clients, instead intermingling monies collected on behalf both of the major client and of the other clients and making payments to the major client from the monies so intermingled
    • despite demands from the other clients that monies collected on their behalf be paid over in accordance with contractual obligations, the Mr Baker and his co-directors failed to make payments when due to the other clients and to otherwise preserve monies collected from them, causing detriment to the other clients who at the date of Administration were owed a total of at least £5,688,133.

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 administers the insolvency regime, investigating all compulsory liquidations and individual insolvencies (bankruptcies) through the Official Receiver to establish why they became insolvent. It may also use powers under the Companies Act 1985 to conduct confidential fact-finding investigations into the activities of live limited companies in the UK. In addition, the agency authorises and regulates the insolvency profession, deals with disqualification of directors in corporate failures, 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 7637 6498

Press Office

The Insolvency Service


4 Abbey Orchard Street
London
SW1P 2HT

This service is for journalists only. For any other queries, please contact the Insolvency Enquiry line on 0300 678 0015.

For all media enquiries outside normal working hours, please contact the Department for Business, Energy and Industrial Strategy Press Office on 020 7215 1000.

You can also follow the Insolvency Service on:

Link: Press release: Cash collection bosses disqualified for holding onto £5.8m
Source: Gov Press Releases

Press release: Social Security Advisory Committee: Professor Sir Ian Diamond appointed as next Chair

Sir Ian will take up post on 1 August 2018 after the current Chair of the Social Security Advisory Committee (SSAC), Paul Gray CB, stands down.

Esther McVey said:

I am delighted to welcome Sir Ian to the role of SSAC Chair. He will bring a wealth of relevant experience and skills to the role. I look forward to working with Sir Ian, and am confident that the committee will continue to provide valuable advice under his leadership.

I would also like to thank the committee’s outgoing Chair, Paul Gray CB, for the high quality and constructive support that has been provided to the department over the past 6 years. I wish him every success in his future endeavours when he stands down from the committee in July.

Sir Ian Diamond said:

I am delighted to have been invited to become the next Chair of SSAC, indeed, I consider it to be a privilege. Social security touches on the lives of everyone over the course of a lifetime, therefore the committee has an important responsibility to provide high quality and evidence-based advice to government. I look forward to rising to that challenge, supported by the wealth of talent that already exists within the committee’s current membership.

The Social Security Advisory Committee

The Social Security Advisory Committee is an independent advisory body of the Department for Work and Pensions. The committee’s role is to:

  • give advice on social security issues
  • scrutinise and report on social security regulations (including tax credits)
  • consider and advise on any matters referred to it by the Secretary of State for Work and Pensions or the Northern Ireland Department for Communities

The post of SSAC Chair attracts a salary of £22,000 per annum for a time commitment of at least 5 days per month. Professor Sir Ian Diamond has waived his entitlement to this remuneration.

The Office of the Commissioner for Public Appointments regulates all appointments made by the Secretary of State to the Social Security Advisory Committee. The post of SSAC Chair is subject to pre-appointment scrutiny by the Work and Pensions Select Committee.

Professor Sir Ian Diamond

Professor Sir Ian Diamond, who was knighted in 2013 for his services to social science and higher education, is the Principal and Vice Chancellor of the University of Aberdeen. He also holds the following non-executive roles:

  • Chair of British Universities and Colleges Sport
  • Deputy Chair and Chair of the Audit Committee, Universities and Colleges Admissions Service (UCAS)
  • Chair of Department for International Development (DFID) Research Advisory Group
  • Trustee, National Centre for Social Research
  • Trustee, Iona Cathedral Trust
  • Trustee, Population Investigation Committee
  • Chair of Edinburgh College of Further Education
  • Chair of Plan International UK
  • Board Member, UK Research and Innovation
  • Board Member, UK Statistics Authority
  • Board Member, University of Aberystwyth

Professor Sir Ian Diamond takes up his 5-year appointment as SSAC Chair from 1 August 2018. Current Chair, Paul Gray CB, stands down on 31 July 2018.

Contact Press Office

Press Office

Caxton House

Tothill Street
London
SW1H 9NA

Follow DWP on:

Link: Press release: Social Security Advisory Committee: Professor Sir Ian Diamond appointed as next Chair
Source: Gov Press Releases

Press release: First events announced for National Democracy Week

The first events to inform, include and inspire have been announced for National Democracy Week.

A series of nationwide events have been announced today as part of the inaugural National
Democracy Week, taking place from 2 – 8 July. The events are aimed at inspiring people of
all ages and backgrounds to participate in democracy and will be organised by charities and community groups across the country.

This festival of democracy is being held in July to coincide with and celebrate the 90th
anniversary of the 1928 Equal Franchise Act – a further historic constitutional milestone
which granted equal voting rights to men and women.

Proceedings will kick off on the 2 July in Manchester, with the first ever National Democracy
Awards at the People’s Museum. The Awards will recognise the exceptional service of those
who work tirelessly to increase democratic engagement in the UK.

Minister for the Constitution, Chloe Smith MP said:

This is a UK-wide festival to celebrate 90 years of equal democratic rights for women and
men. I’d encourage everyone to join in National Democracy Week and participate in an
activity in their local area. Putting on an event in your local scout hut, school hall or
community centre is a great way to celebrate and get your local community involved.

Our democracy should be inclusive of everyone in society. We hope the fantastic events
being held around the country will inform, include and inspire people of all backgrounds to
participate in our democracy.”

During the week, organisations around the country will hold a wide variety of events,
including:

  • Shout Out UK will host a ‘Women In Politics Hackathon’ inviting up to 100 young
    women, including influential figures across parties, to come together and tackle the
    issue of representation in politics.
  • UpRising, the British Red Cross and the Refugee Council are hosting ‘Our Voice’, a
    youth-led event focused on refugee and asylum seeker issues in Birmingham and
    Bedford.
  • Faith Forums for London will deliver a five day Civic and Democracy Leadership
    Programme equipping young leaders to participate and engage with our Democracy.
  • The Patchwork Foundation is hosting an event to promote positive integration of
    under-represented, deprived and minority communities into British democracy and
    civil society.

Over 25 events have been confirmed in eight cities throughout the UK and more are being
added all the time. Sign up for an event, advertise yours or download our partner pack here.

Further information

The Prime Minister answered a question at Prime Minister’s Question Time on 6
June about National Democracy Week. Read the full transcript here.

  • National Democracy Week events will take place on a national and local level to
    encourage members of the public to get involved with our democracy, in particular
    those from under-registered groups, including young people, BAME groups, British
    ex-pats, and people with disabilities. Events can be found here.
  • The week will celebrate the 100th anniversary of the Representation of the People
    Act 1918 when the first British women over 30 (who met a property qualification) won
    the right to vote and the 90th anniversary of the Equal Franchise Act 1928 which
    granted equal voting rights to men and women.
  • The week is being delivered in collaboration with the National Democracy Week
    Council members, the Cabinet Office and partners across the country.
  • Follow us on social media at #talkdemocracy.
  • You can find out more about National Democracy Week on the website here.
  • For further information on National Democracy Week, contact the Cabinet Office
    Press Office on 0207 276 0436.
  • It takes about 5 minutes to register to vote online. To find out more visit this page.

Link: Press release: First events announced for National Democracy Week
Source: Gov Press Releases

Press release: Government announces support for Finn’s Law campaign in Parliament

Courageous service animals such as police dogs and horses will be offered greater protection under a new law being backed by Government.

The Animal Welfare (Service Animals) Bill has been published in Parliament by Sir Oliver Heald MP and is scheduled for its second reading today (Friday 15 June).

It relates to the prominent Finn’s Law campaign, named after the police dog which was stabbed whilst pursuing a suspect with his handler PC David Wardell.

The proposed legislation will remove a section of the current law of self-defence, often used by those who harm a service animal.

This change, coupled with the government’s plans to increase maximum sentences for animal cruelty offences to five years in prison, will make sure those who harm service animals are punished accordingly.

Environment Secretary Michael Gove said:

This Bill will offer stronger protection for the many brave service animals that help to protect us. I pay tribute to PC David Wardell, Sir Oliver and all those who have campaigned for Finn’s Law.

This Government is continuing to raise the bar on animal welfare, whether it be for our beloved pets, brave service animals or on farms.

PC Dave Wardell, Finn’s Police Dog handler, said:

My boy Finn, now retired, was one of several thousand service animals that work to protect the whole of society 24 hours a day, everyday. When Finn was seriously injured it didn’t seem right to me or the public that he was seen as an inanimate object/property, in law.

This campaign and Bill is my way of saying thank you to Finn for saving my life and to the many others for the truly outstanding and brave work they do everyday.

With the amazing support of my MP, Sir Oliver Heald QC, a great working relationship with DEFRA was formed. Sir Oliver, along with Sarah Dixon and Nicola Skelley, have worked so incredibly hard to get us to the point we are at today. I would like to take this opportunity to thank them and DEFRA from my heart and from the thousands of supporters that our service animals have.

What you have done today will help protect our amazing service animals, animals we should be very proud of. It’s time for Finn’s Law

The Bill proposes amending the Animal Welfare Act 2006 to address concerns on an existing section where a defendant accused of causing unnecessary suffering to an animal can claim they were protecting themselves and justified in using physical force against a service animal.

Sir Oliver Heald MP, who presented the Bill, said:

I am delighted that the campaign for Finn’s Law has gained the support of the Government.

I’ve had productive meetings with Defra ministers on this Bill and am looking forward to its passage through Parliament. This is a good day for all of our brave service animals.

Nicola Skelley and Sarah Dixon, of the Finn’s Law Campaign, said:

We are absolutely delighted to receive and welcome the backing from DEFRA to Sir Oliver Heald’s amended Bill.

Throughout the Finn’s Law campaign we have been grateful to Lord Gardiner, in particular, for the respectful discussions he has held with Sir Oliver.

For too long have the Courts struggled with securing prosecutions for injuries intentionally inflicted on Police and Prison dogs and horses in particular.

We are looking forward to the 2nd reading of Sir Oliver’s Bill and we feel optimistic for a positive outcome. We will continue to work tirelessly towards securing protection for these animals.

Link: Press release: Government announces support for Finn’s Law campaign in Parliament
Source: Gov Press Releases

Press release: Government acts to make ‘upskirting’ a specific offence

  • Government moves to make ‘upskirting’ a specific criminal offence
  • Worst perpetrators set to face two years in prison
  • Ministers demand the most serious offenders are placed on the sex offenders register

‘Upskirting’ is set to become a specific criminal offence, with perpetrators facing up to two years behind bars, under a new law backed by Government.

The highly intrusive practice – colloquially known as ‘upskirting’ – typically involves offenders taking a picture under a person’s clothing without them knowing, with the intention of viewing their genitals or buttocks.

Currently, this behaviour is being successfully prosecuted under the offence of Outraging Public Decency. However, ministers have decided to act after concerns were raised that potentially not all instances of ‘upskirting’ are covered by existing criminal law.

In April, the Justice Secretary David Gauke committed to ensuring the law was fit for purpose. Today, ministers have confirmed that the Government will support legislation to close any potential loopholes, in order to better protect victims and increase convictions.

Justice Minister Lucy Frazer said:

This behaviour is a hideous invasion of privacy which leaves victims feeling degraded and distressed.

By making ‘upskirting’ a specific offence, we are sending a clear message that this behaviour will not be tolerated, and that perpetrators will be properly punished.

I’d like to thank Wera Hobhouse, Gina Martin, and all other campaigners for their tireless work, and look forward to seeing the Bill progress through Parliament.

The measures were introduced in a Private Member’s Bill (PMB) by Wera Hobhouse MP. The Bill will receive its 2nd reading in the House of Commons today (15th June).

In recent years the Government has made tackling sexual abuse and sexual violence a priority, and keeps laws in this area under constant review. After listening carefully to the concerns of victims, stakeholders, and MPs from across the House, Ministers have decided a change in the law is necessary.

Wera Hobhouse MP said:

I got involved in politics to change things that my constituents and I care about. I am incredibly grateful to Gina Martin for starting this campaign, and for giving me the opportunity – in my first year in parliament – to do exactly that.

The fact that the government have listened to our calls is testament to the widespread consensus that there was a gap in the law that needed to be addressed. By working with Gina and Ministers on the detail of my bill, we have demonstrated when we work together successfully we can make a difference on issues that really matter to people.

We all made the case for common sense. Now if someone is to fall victim to upskirting, the law will recognise them as the victim, and the police will be able to act immediately and bring the perpetrators to justice.

Gina Martin said:

Almost a year ago, I started my campaign to make upskirting a sexual offence after I was targeted. I’ve been on an extraordinary journey since then. The inner workings of politics was a mystery to me, so I brought in my lawyer Ryan Whelan to help me create an argument that was legally sound and politically astute.

And now, the result of all that hard work is that women and girls who needed this law changed are now being heard by those in power. This has been a colossal undertaking for me personally and professionally, and I absolutely couldn’t have done it without Ryan and the incredible public behind me.

The new law would bring the punishment for ‘upskirting’ in line with other existing voyeurism offences, and the changes will see offenders face a maximum of two years in prison. The Government will now work with Wera Hobhouse and others to bring these measures through, with Ministers planning to ensure crucial amendments are made to the Bill. The most notable of these amendments includes placing the most serious offenders on the sex offenders register.

Katie Ghose, Chief Executive of Women’s Aid, said:

We welcome the government taking decisive action to make upskirting a criminal offence. This form of abuse is painful and humiliating for victims and often has a devastating impact on all aspects of their lives.

We hope that this new criminal offence will be another step forward in challenging the prevailing sexist attitudes and behaviours in our society that underpin violence against women and girls. Domestic abuse does not happen in a cultural vacuum.

By condemning this form of abuse, we can send out the powerful message that upskirting is unacceptable and perpetrators of this crime will be held to account.

Lisa Hallgarten, Head of Policy & Public Affairs for Brook, says:

Brook welcomes the Government’s recognition of the seriousness of upskirting as a move towards tackling the widespread incidence of sexual harassment of women and girls.

However, we know that the law alone is not enough and schools have a critical role in challenging harmful behaviours and practices by dealing with any issues promptly and in line with robust PSHE and safeguarding policies.

In order to keep children and young people safe from harm we must teach them at the earliest opportunity to respect each others’ privacy, to know their rights, and to understand issues around consent, coercion, and unwanted/unsafe touch.

Notes to editors

  • Currently, ‘upskirting’ does not go unpunished in England and Wales, and there have been successful prosecutions under the Outraging Public Decency (OPD) offence. Recent examples of successful prosecutions for ‘upskirting’ under OPD include someone who was convicted in January for taking photos up women’s skirts on trains, on a beach and at work, and a student who was convicted in March for taking photos up women’s skirts in Oxford.
  • However, existing criminal law does not necessarily cover every instance of ‘upskirting.’ Creating a specific ‘upskirting’ offence would strengthen the law in this area, as it doesn’t have the same limitations as existing offences. It would also allow this intrusive behaviour to be treated as a sexual offence and, with Government amendments, ensure that the most serious offenders are made subject to notification requirements (commonly referred to as the ‘sex offenders register’).
  • The PMB would insert a new offence under Section 67 of the Sexual Offences Act 2003. The changes will cover England and Wales; ‘upskirting’ is already a specific offence in Scotland.
  • It would capture instances where the purpose is to obtain sexual gratification or cause humiliation, distress or alarm.
  • A summary conviction would carry a sentence of up to one year in prison and/or a fine. And a more serious offence, tried in the Crown Court, would carry a sentence of up to two years in prison.
  • The Bill returns to Parliament for its 2nd reading on 15 June where the Government will formally give its support.

Link: Press release: Government acts to make ‘upskirting’ a specific offence
Source: Gov Press Releases

Press release: Households with smaller energy suppliers to benefit from £140 Warm Home Discount on their energy bills

  • more smaller energy suppliers will be required to give vulnerable customers, including pensioners, £140 off their winter bills
  • energy suppliers with 150,000 customer accounts or more will be obliged to offer the Warm Home Discount
  • having more energy suppliers in the £340 million scheme will increase consumer choice and improve switching for vulnerable customers as part of government plans to eradicate fuel poverty

Plans to ensure more of the smaller energy suppliers are obliged to help vulnerable customers under one of the government’s flagship schemes to tackle fuel poverty, were outlined today (Friday 15 June) by the Minister for Energy and Clean Growth Claire Perry, following a consultation.

In a move to bring greater fairness to energy prices, lowering the threshold for suppliers to participate in the scheme will mean that 97% of the consumer energy market will be covered. Low income and vulnerable households who get their energy from smaller suppliers will become eligible for the Warm Home Discount, making bills more affordable for around 20,000 more pensioners in 2019/20, and an additional 10,000 pensioners in 2020/21, if the eligibility criteria were to continue in its current form. Extending the eligibility also makes it easier for customers to compare like for like when considering switching.

A stepped approach of lowering the criteria from 250,000 down to 150,000 customer accounts between 2019 and 2021 will ensure that smaller suppliers have enough time to put the right processes in place to take part in the scheme, and reflects the increasing maturity of challengers in the energy retail market.

To reflect this trend, the threshold will be reviewed after 2021 where it could continue to fall, potentially to zero or a small minimum, delivering a level playing field for energy suppliers.

Energy and Clean Growth Minister Claire Perry said:

Tackling fuel poverty is a key priority for this government. Everyone who is automatically eligible for the £140 discount on their energy bills each winter should be able to get it. It shouldn’t be dependent on which energy supplier they are with, so we want change that.

This is why, as part of our commitment to create an energy market that works for everyone, we are lowering the threshold so more smaller suppliers will be able to offer this lifeline discount to their customers who most need it.

Clean and affordable energy is a central aim of our modern Industrial Strategy, building a Britain fit for the future, creating better, higher-paying jobs in every part of the UK.

The Warm Home Discount provides £140 off winter fuel bills each year. It helps around 2.2 million customers who struggle to meet their energy costs during the coldest months.

Some vulnerable customers are provided with this rebate automatically through data matching. The government intends to further consult on this scheme so that with better data matching, all eligible low-income households are identified to automatically get the discount, rather than having to apply to their suppliers to get it.

Reforming and extending policies on fuel poverty are a key part of the government’s commitment to protect low income vulnerable consumers. As outlined in the Industrial Strategy, this includes a recent consultation on changes to the government’s energy efficiency scheme to ensure that nearly a million more low-income households are set to benefit from innovative energy saving measures.

A Bill is also currently progressing through Parliament to cap poor value standard variable and default tariffs for 11 million households. This temporary cap will protect consumers, including vulnerable consumers, until effective competition and an energy market that works for everyone is in place.

Ofgem also extended its Safeguard Tariff Cap on pre-payment meter tariffs to protect a further 1 million vulnerable households, bringing the total protected to 5 million households this winter.

Notes to editors

  1. The Warm Home Discount scheme was launched in April 2011 and has provided assistance with energy costs to over 2 million low income and vulnerable households in Great Britain each year. Since its launch, the scheme has provided over £2 billion of direct assistance to low income and fuel poor households.
  2. The government response to the Warm Home Discount consultation states that the threshold for energy suppliers’ participation in the scheme will remain at 250,000 customer accounts this winter. This will be lowered in future years to 200,000 customer accounts in 2019/20 and 150,000 customer accounts in 2020/21. The threshold will be reduced in a phased way to allow smaller suppliers time to prepare while setting a clear signal to the energy retail market.
  3. As the spending envelope for the scheme is fixed, lowering the threshold will not mean more low income and vulnerable customers benefitting from the rebate overall, but more suppliers will be obliged to make it available and costs will be spread across more customers.
  4. Only the threshold for the core group of the Warm Home Discount scheme will be reduced. This involves automatic rebates through data matching. If the scheme is reformed in 2019/20 to be fully based on consumers automatically getting the entitlement, this reduce in threshold would still apply.
  5. Under the current scheme 94% of the market is covered, the move to reduce the threshold will bring this up to 97% (this is based on current numbers and may change in 2019 as the market develops).
  6. Other suppliers below the threshold will be able to volunteer under the scheme. There are currently 3 voluntary smaller suppliers.

Link: Press release: Households with smaller energy suppliers to benefit from £140 Warm Home Discount on their energy bills
Source: Gov Press Releases

Press release: Rapist has sentence increased after Solicitor General’s referral

A man who attacked and raped a woman has today had his sentence increased after the Solicitor General, Robert Buckland QC MP, referred his sentence for being too low.

Samuel Simms, 45, attacked his victim before forcing her to the floor and raping her. Afterwards, in a conversation partially recorded by the victim, Simms threatened to kill both himself and the victim while gesticulating with a knife.

Simms was originally sentenced at Woolwich Crown Court in April, where he was given a sentence of 5 years’ imprisonment. Today, after the Solicitor General’s referral, the Court of Appeal increased his sentence to 8 years.

Commenting on the sentence increase, the Solicitor General said:

Simms subjected his victim to a callous attack which resulted in serious emotional trauma. The results of his actions will be long-lasting, and I hope that the increased sentence handed down today will more accurately reflect this.

Link: Press release: Rapist has sentence increased after Solicitor General’s referral
Source: Gov Press Releases

Press release: Welsh Secretary visits West Wales business success stories

From global denim brands favoured by Royalty to a gas terminal helping to boost the UK’s energy security, Secretary of State for Wales Alun Cairns has visited the west Wales coast today to meet members of the region’s workforce helping to drive the nation’s rural economy forward. (14 June).

The Secretary of State visited premium denim brand Hiut Denim Co – a label recently propelled into the global spotlight when the Duchess of Sussex wore one of their designs during a visit to Cardiff in January.

The Cardigan based family owned firm has since been flooded with worldwide attention and orders, sparking an imminent move to larger premises in the Ceredigion town later this year and a global order waiting list of three months.

The Secretary of State – who supported Hiut when they co-exhibited at London Craft Week with Danish furniture designers Carl Hansen & Son, was welcomed to the company’s HQ by David Hieatt. David founded the brand with his wife, Clare in 2011. Fiercely proud of their Welsh roots, the couple moved from London back to Cardigan and set about breathing life back into the town’s denim manufacturing history when it was home to clothing manufacturer, Dewhirst.

Mr Hieatt introduced Mr Cairns to the team of Grandmasters, so called due to their decades of denim experience at Dewhirst. Each are living examples of the company’s motto of “do one thing well” by singlehandedly crafting each pair of jeans for customers all over the world.

Secretary of State for Wales Alun Cairns said:

Hiut is a company that prides itself on doing one thing well – setting itself apart from the highly mechanised industry giants and helping to propel the ‘Made in Wales’ stamp around the world.

With its expansion plans and continued investment in the local economy, Hiut Denim Co is a shining example of a company looking to capitalise on the global demand for their goods – and showing how a little Welsh endeavour can go a long way.

The UK Government is ready to support any Welsh business looking to follow in their footsteps and take advantage of every opportunity available to them to grow and expand into new markets.

David Hieatt, co-founder of ‘Hiut Denim Co said:

Over the last six months, we have gone through the biggest growth period in the company’s life. We are already over 60% up on 2017. This is mostly thanks to the media coverage we received in December 2017 and, of course, since Meghan Markle was seen wearing our jeans in January.

Since then we have hired four new apprentices in the factory. We have also outgrown our current factory and will be moving to a larger factory in the next few weeks. We will be hiring more Grandmasters to work in the factory once we have the new factory up and running.

Hiut Denim Co. is a global denim company making jeans for the creative man and woman of the world. It’s quest is the same as was on day one: To get 400 people their jobs back.

We are fighting for the right to make. This is a maker town. We are passing those skills on to the next generation.

The Secretary of State also highlighted the region’s energy rich landscape with a visit to South Hook LNG Terminal in Milford Haven. The Terminal has been importing liquefied natural gas (LNG) from Qatar since it was fully commissioned in 2010. With capacity to process around 20% of the UK’s current natural gas needs, it is one of the largest terminals in Europe.

Alun Cairns added:

South Hook plays a crucial role in the fabric of Wales’ energy sector and the facility at Milford Haven is a key element in ensuring UK energy security. Employing just over 200 people in Milford Haven, with the vast majority coming from Pembrokeshire and Carmarthenshire, it is a key employer in the West Wales region.

Qatari investment in London, including the recent introduction of the daily Qatar Airways flight from Doha to Cardiff, shows that the UK is highly attractive to investors abroad, creating jobs and growth at home.

Rob Else, General Manager South Hook LNG Terminal said,

We were delighted to welcome the Secretary of State for Wales to our Terminal, where operational reliability is underpinned by the highest of safety standards.

Mr Cairns rounded off his day with a visit to the studios of Mumph Cartoons near Cardigan. While Wales’ reputation as a hotbed of creative and animation talent has been growing worldwide over recent years, Mal Humphreys has plied his trade as a full-time cartoonist since 1991 with his work gracing the pages of the broadsheets and S4C television screens.

Link: Press release: Welsh Secretary visits West Wales business success stories
Source: Gov Press Releases

Press release: Fruit retailer fined after failing to meet marketing standards

Appearing at Sunderland Magistrates on 11 June, Marc Philip Farnsworth, owner of M Farnsworth, in Bede Precinct, Jarrow, was found guilty of displaying and offering for sale fresh fruit below the minimum standards permitted.

The court fined Mr Farnsworth £1,000 and ordered him to pay full investigation costs of £2,826, prosecution costs of £620, and a £100 Victims Surcharge – making a total penalty awarded of £4,546.

The case was brought following an investigation by the Rural Payments Agency’s (RPA) Horticultural Marketing Inspectors (HMI). The inspectors are responsible for the enforcement of the EU marketing standards for fresh fruit, vegetables, salad crops, nuts and cultivated mushroom, throughout England and Wales, wherever fresh produce is grown, imported, exported, bought or sold. These standards will continue to be enforced after we have left the European Union.

Several visits were made to the Jarrow store, during which inspectors found it was selling apples that were severely bruised– making them unfit for human consumption. Rotten figs and bruised and rotten peaches were also for sale.

Mark Buckle, regional manager for HMI, said:

On visiting the store our inspectors found apples that were so badly bruised they should not be eaten – let alone placed for sale. Repeated attempts were made to engage the store’s owner in addressing the issues, but he failed to take action and it was necessary to progress this through the courts.

We will do all we can to ensure unsatisfactory produce is kept off the market. The fine received here should serve as a warning to others that if they are not labelling products correctly, or selling fruit and veg that is of an unacceptable quality then action will be taken against them.

Link: Press release: Fruit retailer fined after failing to meet marketing standards
Source: Gov Press Releases