4.1 The government agrees with the Committee’s recommendation Target implementation date: August 2026 4.2 The department remains committed to reducing loss to the taxpayer, and continues to work across government, law enforcement and commercial lenders to address fraud in relation to the Bounce Back Loan Scheme (BBLS). 4.3 The Insolvency Service will take over NATIS’s viable cases of Covid-19 financial support fraud (the majority in relation to the BBLS), in a bid to recoup taxpayers’ money lost to fraudsters. The Insolvency Service has a well-established record of managing fraud and misconduct cases. This enforcement activity is in addition to recovery work being undertaken by lenders. The department has commissioned an audit by the Government Internal Audit Agency to further assess recovery efforts and address any reporting failures from NATIS. The department will submit its written findings to the Committee before the end of August 2026. 4.4 As of 31 March 2025, the Insolvency Service has disqualified 2,167 directors, imposed bankruptcy restrictions on 343 individuals, and secured 55 criminal convictions for COVID-19 financial support scheme misconduct, mostly involving Bounce Back Loans. 4.5 The government agrees with the Committee’s recommendation. Target implementation date: July 2026 4.6 The Insolvency Service is an executive agency of the Department for Business and Trade which, among other things, investigates instances of fraud and misconduct in respect of the BBLS, and brings fraudsters to justice and where appropriate, helps facilitate the recovery of loans taken out fraudulently. 4.7 The department will write to the Committee in one year, providing information that is obtainable on the performance of the Insolvency Service in recovering amounts lost due to fraud.