Treasury Minister resigns over Government's 'lamentable' track record on Covid fraud

The sun sets over the Houses of Parliament and statue of David Lloyd George in Parliament Square, London

Lord Theodore Agnew of Oulton said his departure is not an “attack on the Prime Minister” as he criticised Ministers ability to take on fraud in the flagship coronavirus business loans scheme.

Lord Agnew has served as the Minister for Efficiency and Transformation in the Treasury and Cabinet Office since February 2020 and was responsible for efforts to counter fraud.

He told peers that “schoolboy errors” had been made as he set out his reason for resigning from the Government.

“The oversight by both BEIS and the British Business Bank of the panel lenders of BBLs has been nothing less than woeful,” he said.

“They have been assisted by the Treasury, who appear to have no knowledge or little interest in the consequences of fraud to our economy or our society.”

He told the Lords that the Department for Business, Energy and Industrial Strategy had “two counter-fraud staff” at the start of the pandemic who would not “engage constructively” with his counter-fraud team in the Cabinet Office.

He added: “Schoolboy errors were made, for example allowing over a thousand companies to receive bounceback loans that were not even trading when Covid struck.”

After finishing his speech, the Treasury Minister walked out of the Lords chamber to applause from his fellow peers.