UK Inquiry Tracker

DCMS management of COVID-19 loans

Public Accounts Committee Closed Inquiry

Opened: 31 Oct 2024 Closed: 16 Jun 2025 Parliament page

The COVID-19 pandemic placed enormous strain on the arts and sports sector, as many organisations were forced to close for prolonged periods. The Department for Culture, Media and Sport (DCMS) provided around £2.6 billion of support for organisations from 2020-22. A proportion of this support, £474 million, was provided in … Read more The COVID-19 pandemic placed enormous strain on the arts and sports sector, as many organisations were forced to close for prolonged periods. The Department for Culture, Media and Sport (DCMS) provided around £2.6 billion of support for organisations from 2020-22. A proportion of this support, £474 million, was provided in the form of loans repayable for up to 25 years. Given that this is the first time the DCMS has managed a loan book of this size, the National Audit Office (NAO) has launched an investigation into its ability to do so. As well as seeking to understand how effectively the DCMS is able to manage its loan book, it will also question if there are appropriate measures in place to oversee the repayment process. The NAO’s report will seek to understand how the department has managed any challenges that have arisen from the process so far. The Committee previously examined the Culture Recovery Fund , publishing its findings in 2021. The Committee warned that the DCMS would need a clear plan for how it would oversee the fund, ensuring it had the skills and capabilities within the organisation to do so. The Committee also recommended the Department implement lessons from across Government to ensure the process could benefit from the successes of other comparable schemes. Using the findings of the NAO report, the Committee will take evidence from senior Department of Culture, Media and Sport officials, with likely focuses including: - How effectively the Department has been able to manage its loan book and the processes it has in place in order to do so; - If the Department has a long-term plan for managing loan repayments and maximising financial returns and; - What lessons, if any, could be learned from the Departments approach to the governance of loan repayments. Please look at the requirements for written evidence submissions and note that the Committee cannot accept material as evidence that is published elsewhere. Show less

1 Recommendation

24 Conclusions

1 Report

1 Oral session

6 Letters

1 Event

Activity timeline 10 events

12 Mar
2026

Correspondence

Letter from the Permanent Secretary at the Department for Culture, Media and Sport relating to recommendations 1 and 4a of the Committee’s …

10 Jul
2025

Report published

Treasury minutes: Government response to the Committee of Public Accounts on the Twentieth report from Session 2024-25

2 Apr
2025

Report published

20th Report - DCMS management of COVID-19 loans

2 Apr
2025

Correspondence

Letter to the Permanent Secretary of DCMS relating to PAC report: DCMS management of COVID-19 loans, 1 April 2025

2 Apr
2025

Correspondence

Letter from the Permanent Secretary of DCMS relating to PAC report: DCMS management of COVID-19 loans, 1 April 2025

27 Mar
2025

Correspondence

Letter from the Director General for Policy at the Department for Culture, Media and Sport relating to the DCMS management of COVID-19 loan…

11 Feb
2025

Correspondence

Letter from the Permanent Secretary of the HM Treasury relating to the Local authority administered COVID support schemes in England, 31 Ja…

11 Feb
2025

Correspondence

Letter from the Permanent Secretary for the Department for Culture, Media and Sport relating to updates on progress made in Grassroot parti…

10 Feb
2025

Oral evidence

Oral evidence session

10 Feb
2025

Formal meeting (oral evidence session) · The Grimond Room, Portcullis House

Committee event

Oral evidence sessions 1 session

10 Feb 2025

View on parliament.uk

Gareth Davies · National Audit Office Gareth Davies · Department for Transport Max Tse · National Audit Office Nicola Hewer · Department for Culture, Media and Sport Polly Payne · Department for Culture, Media and Sport Rebecca Sheeran · National Audit Office Susannah Storey · Department for Culture, Media and Sport

Reports 1 report · click to expand

Title	HC No.	Published	Items	Response
20th Report - DCMS management of COVID-19 loans	HC 364	2 Apr 2025	25	Responded

Recommendations & Conclusions

3 results

6 Conclusion Rejected

20th Report - DCMS management of C…

Consider alternative arrangements to fill accountability gap for rugby union loans.

Owing to a conflict of interest, the Department has allowed a gap to arise in accountability to Parliament for a significant amount of public money relating to the loans it made to rugby union. Since her appointment as Permanent Secretary … Read more

Government Response

The government disagrees with the recommendation, stating that accountability is best achieved by delegating Accounting Officer decisions for Rugby Union to a Director General within DCMS. The Director General for Strategy and Major Events has been appointed as Additional Accounting Officer for Rugby Union matters, in line with HM Treasury guidance.

HM Treasury

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24 Conclusion Rejected

20th Report - DCMS management of C…

Department established arrangements to manage Accounting Officer's conflict of interest in rugby union matters.

Since her appointment as Permanent Secretary in June 2023, the Department’s Accounting Officer has had a declared conflict of interest regarding rugby union.63 The Department told us that it has put in place arrangements to handle this conflict whereby its … Read more

Government Response

The government disagrees with the committee's recommendation and believes accountability is best achieved by having a Director General within the department as an Additional Accounting Officer, rather than a Permanent Secretary from another department.

HM Treasury

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25 Conclusion Rejected

20th Report - DCMS management of C…

Conflict of interest prevented direct questioning on Department's substantial rugby loans and financial exposure.

The conflict of interest meant that we could not question the Permanent Secretary directly about the £124 million that the Department had loaned to top–tier rugby union clubs and its subsequent management of these loans. Instead, we had to direct … Read more

Government Response

The government disagrees with the Committee’s recommendation and believes that accountability is best achieved by having a Director General within the department as an Additional Accounting Officer.

HM Treasury

View details

Government Response AI assessment · 25 of 1 classified

Accepted 12

Acknowledged 4

Deferred 6

Rejected 3

Total 1 rec + 24 conclusions

Correspondence 6 letters

12 Mar 2026 To committee Letter from the Permanent Secretary at the Department for Culture, Media and Sport relating to recommendations 1 and 4a of the Committee’s Twentieth Report on DCMS management of COVID-19 loans, 03 March 2026

Parliament page

2 Apr 2025 From committee Letter to the Permanent Secretary of DCMS relating to PAC report: DCMS management of COVID-19 loans, 1 April 2025

Parliament page

2 Apr 2025 To committee Letter from the Permanent Secretary of DCMS relating to PAC report: DCMS management of COVID-19 loans, 1 April 2025

Parliament page

27 Mar 2025 To committee Letter from the Director General for Policy at the Department for Culture, Media and Sport relating to the DCMS management of COVID-19 loans: rugby union follow-up, 17 March 2025

Parliament page

11 Feb 2025 To committee Letter from the Permanent Secretary of the HM Treasury relating to the Local authority administered COVID support schemes in England, 31 January 2025

Parliament page

11 Feb 2025 To committee Letter from the Permanent Secretary for the Department for Culture, Media and Sport relating to updates on progress made in Grassroot participation in sport and physical activity and DCMS management of COVID-19 loans, 06 February 2025

Parliament page