- UKEF offered £12.3 billion in monetary help for UK exports to 77 nations
- UKEF greater than doubled the variety of UK companies it assisted over the past two years
- As much as 107,000 UK jobs have been supported and exporters have been helped to maintain buying and selling by way of the pandemic
UK Export Finance (UKEF) offered £12.3 billion in help for UK exports from 2020-2021, virtually treble the quantity offered within the earlier monetary 12 months, in response to its new annual outcomes printed at this time.
UKEF’s monetary backing and fast response through the pandemic is estimated to have supported as much as 107,000 UK jobs and helped to maintain UK companies and key industries afloat.
A Short-term Covid Threat Framework was launched final April, which gave the division further capability to again companies affected by COVID-19. By this framework, UKEF offered £7.3 billion in help to exporters who have been severely disrupted by the pandemic, securing as much as 71,000 UK jobs at main corporations like Nissan, easyJet and British Airways which will in any other case have been misplaced.
UKEF additionally dedicated in December to ending help for brand new fossil gasoline initiatives abroad, aligned with the Prime Minister’s Ten Level Plan for a Inexperienced Industrial Revolution. As a part of this dedication, Minister for Exports, Graham Stuart, will announce at this time (23 June) on the Worldwide Commerce Choose Committee, that UKEF has created a brand new Renewables, Power and Carbon Administration underwriting workforce.
The workforce of 20 employees will guarantee UKEF has the sources wanted to take care of elevated volumes of enterprise throughout sectors like wind energy, photo voltaic, inexperienced hydrogen, grid resilience and decommissioning, and to develop relationships throughout these sectors to maximise UK firms’ participation in worldwide initiatives.
UKEF has launched new merchandise within the final 12 months to assist extra UK firms entry the funds they should go international, together with the Common Export Facility set as much as help SMEs. Because of this, the variety of exporters, together with small companies, accessing UKEF’s help has greater than doubled within the final two years, and is about to develop additional because the UK continues to signal new Free Commerce Agreements.
Minister for Exports, Graham Stuart, stated:
UKEF stepped up when its assist was wanted most. Coronavirus put the UK in its most economically difficult place in many years. UKEF has been central to the federal government’s response and offered £12.3 billion in help of UK exports – essentially the most in 30 years. This backing helped our nation of exporters preserve promoting to the world by way of this pandemic.
We’re opening up the world’s quickest rising markets by way of the commerce offers we’re negotiating in order that the UK can recuperate as rapidly as doable from the pandemic. Due to the expertise and dedication of UKEF employees, firms can now benefit from our bold commerce insurance policies. With a devoted clear progress lending facility and the brand new Clear Power workforce I’m saying at this time, UKEF will assist the financial system develop again stronger, fairer and greener.
Marcus Dolman, Co-Chairman of the British Exporters’ Affiliation (BExA), welcomed the outcomes and stated:
UKEF has stepped up and offered a lot wanted help to maintain exporters by way of the pandemic. The brand new EDG and GEF merchandise are already proving their worth to UK exporters and to supporting UK jobs. Additionally it is heartening to see will increase in UKEF’s conventional help. The rise within the variety of exporters supported is constructive.
The continued growth of UKEF’s merchandise is important to positioning the UK on the forefront of the Inexperienced Industrial Revolution. BExA seems ahead to persevering with to work with UKEF to develop their product vary to make sure the UK is able to get again out on this planet when restrictions ease.
UKEF 2020-21 highlights
- UKEF underwrote a report quantity of enterprise, offering £12.3 billion in monetary help for UK exports to 77 nations.
- Supported 549 firms in 2020-21, greater than double the quantity from two years in the past, supporting as much as 107,000 UK jobs.
- 79% of the businesses UKEF supported have been SMEs, because the division backed a whole bunch of small export contracts within the 12 months. Its smallest deal was £297 of export insurance coverage for a London-based recruitment firm exporting to the USA.
- Launched a Short-term Covid Threat Framework (TCRF) to again companies affected by COVID-19, issuing £7.3 billion of help by way of it.
- Underwrote its largest-ever civil infrastructure undertaking with £1.7 billion to construct two monorail traces in Cairo, supporting the primary export of UK-built trains in over 12 years.
- Offered £7.6 billion of help to main exporting corporations, serving to to help as much as 76,000 jobs by way of its new Export Improvement Assure together with Ford, Nissan, Subsea 7, Rolls Royce, easyJet, and British Airways.
- Launched new merchandise to assist UK SME exporters reap the benefits of buying and selling alternatives by way of the Common Export Facility and Customary Purchaser Mortgage Assure.
- Stays essentially the most ethnically numerous division in Whitehall, with 31% of UKEF employees figuring out as being from ethnic minority backgrounds.
UK Export Finance is the UK’s export credit score company and a authorities division, working alongside the Division for Worldwide Commerce as an integral a part of its technique and operations.
Established in 1919, it exists to make sure that no viable UK export ought to fail for a scarcity of finance from the non-public market. It offers finance and insurance coverage to assist exporters win, fulfil and receives a commission for export contracts.
UKEF’s help is offered on a industrial foundation in partnership with over 100 non-public sector suppliers and the division expenses a premium to cowl its prices and the chance it takes on, working at no internet value to the taxpayer over time.