Potential fraudulent BBL scheme applications, HSE’s plan to tackle asbestos, and a Cyber Essentials programme for SMEs
Today’s blog post discusses tackling potential fraudulent BBL scheme applications, HSE’s plan to tackle asbestos, and a Cyber Essentials programme for SMEs
Pilot scheme to look at potential fraudulent Bounce Back Loan Scheme applications
The Department for Business (DBT), the Cabinet Office, and HM Revenue & Customs (HMRC) have initiated a pilot program to detect potential fraud committed by sole traders under the Bounce Back Loan Scheme. The objective is to identify those who either applied for a loan when inactive during the eligibility period, or who misrepresented their turnover.
In the first phase, the Cabinet Office and DBT will share sole trader borrowing data with HMRC. HMRC will then cross-reference it with its records. Identified high-risk cases will be flagged for investigation by DBT. In the second phase, the identified risk cases will be shared with accredited BBLS lenders to aid investigations. Lenders who suspect fraud themselves can share this information with DBT.
The government has previously run a similar pilot targeting limited companies that borrowed money on the Loan Scheme. They feel that there is similar potential for fraudulent applications by sole traders and so have made them the target of this latest pilot.
Before the Bounce Back Loan Scheme was closed in March 2021, a total of £9.6bn had been lent to sole traders. Individual loan amounts were between £2,000 and £50,000 with the government serving as guarantor. A requirement of the loan being granted was that it be used to benefit the business and not be used personally.
A Public Accounts Committee report has previously criticized DBT for not doing enough to prevent fraud in COVID-19 support schemes. A more recent 2023 report by the same Committee has been no less condemning of the slow progress that DBT has made in its Loan Scheme counter-fraud activities. DBT have themselves accepted that grant payments made to businesses through local councils as part of their COVID-19 support schemes were not used as intended by the scheme.
HMRC has estimated that the total amount of error and fraud across all COVID-19 support schemes is £5bn.
NCSC warn that AI will cause ransomware threats to rise
In a busy week for cyber-related news, the National Cyber Security Centre (NCSC), have released a warning that they anticipate global ransomware threats to rise with AI.
They have published an assessment of the near-term impact of AI on the cyber threat. In it, they conclude that AI is already being used in malicious cyber activity and this will only increase.
The report suggests that AI lowers the barrier of entry by effectively giving unskilled and novice cyber criminals and hackers access to skills that would otherwise take considerable time to develop.
NCSC therefore anticipate an increase in the volume and impact of cyber-attacks over the next 2 years and are urging businesses to implement protective measures.
A copy of the report can be found here: https://www.ncsc.gov.uk/report/impact-of-ai-on-cyber-threat
New initiative on asbestos by HSE
The Health and Safety Executive (HSE) have launched a new initiative, Asbestos: Your Duty. This initiative targets workplaces, schools and hospitals with the aim of safeguarding individuals from asbestos exposure.
Asbestos is a hazardous substance that saw widespread use in post-war construction, prior to being completely banned in 1999. Sarah Albon, HSE’s chief executive said that “asbestos exposure in Great Britain is still the single greatest cause of work-related deaths due to exposures decades ago.”
Workplaces such as offices and factories, schools, hospitals, and places of worship all come with a legal duty to manage asbestos. Therefore, business owners and landlords who are responsible for premises constructed before the turn of the century, particularly those erected between 1950 and 1980 when asbestos usage peaked, are being urged to carry out necessary checks and be certain they know their legal responsibilities.
Properly containing asbestos ensures the safety of people visiting and working in affected buildings. However, asbestos causes danger when it is disturbed or damaged.
HSE’s website contains updated information, templates and explainer videos to help anyone who needs a refresher or is unsure of their legal duties.
Funding available for creative sector businesses
Funding of up to £50,000 together with a package of tailored non-financial support is available to apply for by high-potential micro and small businesses that are either from or support the creative industries.
Innovate UK, which is part of UK Research and Innovation, is making this funding available as part of its Creative Catalyst area of investment and support.
Funded projects will need to focus on one or more specified creative industry subsectors. Innovate UK is particularly encouraging proposals that will benefit subsectors that are underrepresented in innovation, including architecture, crafts, photography, publishing, and radio. But proposals for other creative subsectors are also welcomed.
The aim of the funding is to help lower the risk of taking on innovative projects in the creative industries.
An online briefing is being run on 25th January 2024 at 11am that will explain the timelines, who can apply and how to apply. See: https://iuk.ktn-uk.org/events/creative-catalyst-2024-competition-briefing/
Grant Writing Workshops providing tips and advice for writing a successful grant application will also be run on 6th February 2024 and 28th February 2024. See: https://iuk.ktn-uk.org/events/creative-catalyst-peer-network-grant-writing-workshops/
Cyber Essentials programme funding for UK businesses
The National Cyber Security Centre (NCSC) is providing a funded Cyber Essentials programme to help small businesses in certain sectors across the UK implement essential security controls.
While all businesses face cyber threats, some that hold sensitive information or that are seen as an easy target can face increased risks. The focus of the funded programme is to help these additional risk businesses protect themselves.
The Cyber Essentials programme covers how to control firewalls, secure settings, access controls, malware protection, and software updates. These controls can help a business protect itself from the most common types of cyber threat.
The funding will provide 20 hours of free remote support from an NCSC-assured cyber security advisor. The advisor will focus on implementing the controls and ensuring they are effective.
Micro or small businesses (1 – 49 employees) registered in the UK and working on the development of fundamental AI technologies are eligible to apply for the funded Cyber Essentials Programme.
However, businesses that have previously participated in a funded Cyber Essentials programme or that already hold or have recently held (since January 2023) Cyber Essentials Plus certification are not eligible.
For more information on the programme, see: https://www.ncsc.gov.uk/information/funded-cyber-essentials-programme