Rahman Ravelli considers the spate of directors being struck off for pandemic support scheme abuse

With official figures showing that more than half of all UK company directors struck off over a 15-month period faced allegations of abuse of Covid-19 financial support schemes, Rahman Ravelli have wrote about the situation.

In this piece, which was published by HMRC Enquiries, Investigations and Powers, Rahman Ravelli outline the most significant coronavirus fraud statistics and explains the background to how such large-scale fraud was possible.

Rahman Ravelli emphasise that the original £5 billion estimate of losses suffered by the government’s bounce back loan scheme has now been revised down to £1.1 billion.

But they add that the Insolvency Service being given an extra £100 million as part of the 2021 spending review for strategic investment and investigation initiatives may not have been necessary if the government had not been so short-sighted in its rush to devise and implement a system of Covid loans. It was a system, they conclude, that may have caused more problems than it solved.

The full article can be read here.

Featured at: HMRC Enquiries