Twenty-First Report - Government support for UK exporters

Select Committee

Public Accounts Committee HC 679 28 October 2020

Report Status Government responded

Conclusions & Recommendations 24 items (6 recs)

Source View on Parliament website

Government Response (AI assessment · 21 of 24 classified)

Accepted 12

Accepted in Part 2

Not Addressed 3

Rejected 4

Government response

Treasury minutes: Government response to the Committee of Public Accounts on the Twenty-first report from Session 2019-21 · published 4 Feb 2021

Read the government response ↗ Response on the tracker

Recommendations & Conclusions

2 results

5 Recommendation Accepted in Part

UK Export Finance directly supported only 199 customers in total in 2019–20, failing to meet...

Recommendation

UK Export Finance directly supported only 199 customers in total in 2019–20, failing to meet its own target of 500. UKEF attributes failing to meet its customer target to a lack of awareness among smaller businesses of what UKEF offers, … Read more UK Export Finance directly supported only 199 customers in total in 2019–20, failing to meet its own target of 500. UKEF attributes failing to meet its customer target to a lack of awareness among smaller businesses of what UKEF offers, a potential decline in demand, a lack of appetite from banks and issues with its application process. UKEF is introducing more flexible products which are expected to be more attractive to smaller businesses in a wider range of markets and help increase customer numbers. These include the General Export Facility which will support businesses’ overall export working capital requirements, rather than linking this support to specific contracts. In response to the COVID-19 pandemic it has also expanded the scope of its Export Insurance Policy to a wider number of markets, with the aim of protecting UK exporters from the risk of non-payment, and it has taken steps to proactively engage with the renewable energy sector, supporting projects in Taiwan, Spain and Ghana. However, how effective UKEF is at meeting its customers’ needs is unclear because, unlike the Department, it does not survey its customers to assess their satisfaction with its products and application processes. Recommendation: UKEF should report back to us in writing by September 2021 with an update on progress and action is has taken to: • Proactively target the green technology and renewable energy market. • Increase the number of SMEs it is supporting in a wider range of countries through take up of its new General Export Facility, and consider using UKEF recently approved marketing budget to do that. 8 Government support for UK exporters • Support exporters during the COVID-19 pandemic, particularly in relation to the expansion of the scope of its Export Insurance Policy to a wider number of markets. • Develop and implement a customer satisfaction survey. UKEF should consider the merits of developing its own survey as well as working with the Department to identify oppor Show less

Government Response Summary

The government agrees to the recommendation, stating it launched the General Export Facility (GEF) and refreshed its "Exporters Edge" marketing campaign to increase support for SMEs. However, the response does not explicitly address the recommendations to proactively target green technology, support exporters during COVID-19, or develop a customer satisfaction survey.

HM Treasury

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16 Recommendation Accepted in Part

The FSB also reported that the Department’s International Trade Advisors can vary in quality, that...

Recommendation

The FSB also reported that the Department’s International Trade Advisors can vary in quality, that small businesses do not know about the Department’s ‘Report a trade barrier’ scheme and are not using it, and that very small firms do not … Read more

Government Response Summary

The government agrees and will explore accreditation for International Trade Advisers and promote the 'report a trade barrier' service by September 2021. However, the response does not explicitly address the recommendation regarding TAP grants for virtual trade shows or analyzing why businesses export only once.

HM Treasury

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