To ask the Minister of Finance, pursuant to AQW 14331/17-22, (i) why Land and Property Services has no powers to recover money mistakenly given out to ineligible businesses as part of the COVID-19 grants system; (ii) what powers his Department has to recover this money; and (iii) to detail the mechanism by which the £1.4 million has so far been returned from ineligible businesses.

As advised in the response to AQW 14331/17-22 the legal authority to make payments under the Small Business Support Grant Scheme lies with powers available to the Department of Economy (DfE). DfE are responsible for the policy of this Scheme and the role of my Department and LPS was to act as administrators of the Scheme on behalf of DfE.

A Memorandum of Understanding (MOU) was put in place to set out the roles of each party. LPS has no responsibility under this MOU for the recovery of grants that may have been paid in error. As it is not specifically stated in the MOU that LPS is responsible for recovery of grants paid in error, LPS has no authority to do so without the consent of DfE.

In respect of grants that have been repaid to date, these have been returned on a voluntary basis by businesses who have been made aware either through contact with LPS or general publicity on the scheme that they are not eligible. LPS has provided information to such businesses to instruct them on how they can repay the funds and we have kept a record of monies returned.

LPS has provided DfE with a full list of payments made to ineligible parties. It is my understanding that DfE are communicating with these parties to seek the return of the monies paid.