Barry Gardiner – 2016 Parliamentary Question to the Department for Business, Innovation and Skills

The below Parliamentary question was asked by Barry Gardiner on 2016-03-22.

To ask the Secretary of State for Business, Innovation and Skills, what estimates his Department has made of the range for the value of liabilities arising from the sale of the Green Investment Bank.

Anna Soubry

Government policy is to move the Green Investment Bank (GIB) in to the private sector. Following a sale, GIB’s contractual liabilities will be funded by its new shareholders. To the extent that HM Government retains a minority stake, the Government will contribute funds towards those contractual commitments on a pro rata basis for UK based investments.

Separately, as part of the sale process, the Department for Business, Innovation and Skills (BIS) has entered into an agreement with Poyry (provider of electricity market reports and price forecasting) (electricity market report and associated price forecast provider) (electricity market report and associated price forecast provider)(electricity market report and associated price forecast provider)to share information with potential bidders to help them to undertake due diligence. This agreement requires BIS to provide an indemnity to Poyry in relation to any resulting liability Poyry might incur. My right hon. Friend the Secretary of State for Business, Innovation and Skills set out details of the indemnity in his written ministerial statement of 21 March (HCWS633) including his view that the likelihood of it being called upon is low. A Departmental minute explaining the procedure followed and describing the liabilities undertaken has also been placed in the Libraries of the House.