London Daily

Focus on the big picture.
Saturday, Aug 02, 2025

‘Happy days if you were a crook’: former minister slams UK Covid loan scheme

‘Happy days if you were a crook’: former minister slams UK Covid loan scheme

Lord Agnew said Treasury measures to tackle fraudulent Covid business loans were a ‘Dad’s army operation’
Treasury officials trying to stop fraudsters making off with vast Covid loans have been called a “Dad’s Army operation” by a former Tory minister who condemned the lacklustre bid to stop “suitcases of cash leaving the country”.

Lord Agnew, who quit as the government’s anti-fraud minister earlier this year, said the first few months of taxpayer-funded emergency loans being issued were “happy days for crooks”.

In an eviscerating assessment of the government’s attempt to avoid the loans being given to untraceable companies, Agnew said he was “genuinely completely dumbfounded” why the operation was not properly resourced.

He revealed it took officials six weeks to create a system that could catch fraudsters making duplicate claims for the loans, which were designed to keep businesses afloat. However, he added by that time “60% of the money had already gone out of the door”.

He recalled: “I was writing letters of congratulations to Border Force staff for picking up suitcases of cash leaving the country. It was happy days if you were a crook in those first few months.”

Out of a potential 100,000 fraud cases, Agnew said just 49 had resulted in arrest – a figure he branded a “disgrace”.

He claimed the economic crime bill, passed by MPs on Monday, was a “start” but only fixed around a quarter of the problems that needed solving in tackling serious offences, such as money laundering.

Agnew admitted he was “very worried” that ministers would claim the bill would solve all the issues and warned that would be an “absolute tragedy”.

In a direct attack on the most senior civil servant in the Treasury – the department in which Agnew used to be a minister – he also said that a letter he received from Tom Scholar “embodies everything about the complacency that grips the civil service”.

It comes two months after the Treasury confirmed it had written off £4.3bn worth of the £5.8bn of fraud witnessed across its Covid business loan schemes.

Agnew said he quit because he was asked to defend the move, but decided he “could not stand up with any great integrity and say that we’d done a great job, because we hadn’t”.

Speaking to the Treasury select committee on Wednesday, Agnew said the Back Bounce Loan Scheme was an “important intervention” to help keep small and medium-sized firms afloat when tough restrictions were in place that forced them to close.

“We had to get the money out quickly to legitimate businesses and give them the support they needed,” he said. “But on the fraud side it was just a Dad’s Army operation.”

Agnew said the economic crime bill – heralded by the government as a key move to help tackle dirty money being laundered in the UK – was a start, but added: “This shouldn’t really be called an economic crime bill, because it’s about tightening up some Land Registry disclosures …

“This only deals with probably 25% of what needs to be done. The Companies House situation is simply terrifying – the gaping holes that exist there in terms of their inability to carry out any proper anti-money-laundering checks on people applying for a company.”

Agnew also said the head of fraud at the British Business Bank had recently “resigned out of frustration because she was not getting supported” in bids to ensure “a much harder set of reporting standards from the banks”.

He also dismissed as “total drivel” and a “classic fob off” explanations by the government about why it would not publish a list of the businesses that received loans.

The Treasury has been contacted for comment.
Newsletter

Related Articles

0:00
0:00
Close
Decline in Tourism in Majorca Amidst Ongoing Anti-Tourism Protests
British Tourist Dies Following Hair Transplant in Turkey, Police Investigate
Poland Begins Excavation at Dziemiany After New Clue to World War II‑Era Nazi Treasure
WhatsApp Users Targeted in New Scam Involving Account Takeovers
Trump Threatens Canada with Tariffs Over Palestinian State Recognition
Trump Deploys Nuclear Submarines After Threats from Former Russian President Medvedev
Trump Sues Murdoch in “Heavyweight Bout”: Lawsuit Over Alleged Epstein Letter Sets Stage for Courtroom Showdown
Germany Enters Fiscal Crisis as Cabinet Approves €174 Billion in New Debt
Trump Administration Finalizes Broad Tariff Increases on Global Trade Partners
J.K. Rowling Limits Public Engagements Citing Safety Fears
JD.com Launches €2.2 Billion Bid for German Electronics Retailer Ceconomy
Azerbaijan Proceeds with Plan to Legalise Casinos on Artificial Islands
Former Judge Charged After Drunk Driving Crash Kills Comedian in Brazil
Jeff Bezos hasn’t paid a dollar in taxes for decades. He makes billions and pays $0 in taxes, LEGALLY
China Increases Use of Exit Bans Amid Rising U.S. Tensions
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Procter & Gamble to Raise U.S. Prices to Offset One‑Billion‑Dollar Tariff Cost
House Republicans Move to Defund OECD Over Global Tax Dispute
Botswana Seeks Controlling Stake in De Beers as Anglo American Prepares Exit
Trump Administration Proposes Repeal of Obama‑Era Endangerment Finding, Dismantling Regulatory Basis for CO₂ Emissions Limits
France Opens Criminal Investigation into X Over Algorithm Manipulation Allegations
A family has been arrested in the UK for displaying the British flag
Mel Gibson refuses to work with Robert De Niro, saying, "Keep that woke clown away from me."
Trump Steamrolls EU in Landmark Trade Win: US–EU Trade Deal Imposes 15% Tariff on European Imports
ChatGPT CEO Sam Altman says people share personal info with ChatGPT but don’t know chats can be used as court evidence in legal cases.
The British propaganda channel BBC News lies again.
Deputy attorney general's second day of meeting with Ghislaine Maxwell has concluded
Controversial March in Switzerland Features Men Dressed in Nazi Uniforms
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
Thai Civilian Death Toll Rises to 12 in Cambodian Cross-Border Attacks
TSUNAMI: Trump Just Crossed the Rubicon—And There’s No Turning Back
Over 120 Criminal Cases Dismissed in Boston Amid Public Defender Shortage
UN's Top Court Declares Environmental Protection a Legal Obligation Under International Law
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
The Podcaster Who Accidentally Revealed He Earns Over $10 Million a Year
Trump Announces $550 Billion Japanese Investment and New Trade Agreements with Indonesia and the Philippines
US Treasury Secretary Calls for Institutional Review of Federal Reserve Amid AI‑Driven Growth Expectations
UK Government Considers Dropping Demand for Apple Encryption Backdoor
Severe Flooding in South Korea Claims Lives Amid Ongoing Rescue Operations
Japanese Man Discovers Family Connection Through DNA Testing After Decades of Separation
Russia Signals Openness to Ukraine Peace Talks Amid Escalating Drone Warfare
Switzerland Implements Ban on Mammography Screening
Japanese Prime Minister Vows to Stay After Coalition Loses Upper House Majority
Pogacar Extends Dominance with Stage Fifteen Triumph at Tour de France
CEO Resigns Amid Controversy Over Relationship with HR Executive
Man Dies After Being Pulled Into MRI Machine Due to Metal Chain in New York Clinic
NVIDIA Achieves $4 Trillion Valuation Amid AI Demand
US Revokes Visas of Brazilian Corrupted Judges Amid Fake Bolsonaro Investigation
U.S. Congress Approves Rescissions Act Cutting Federal Funding for NPR and PBS
North Korea Restricts Foreign Tourist Access to New Seaside Resort
×