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Banking: Asset Protection Scheme

Volume 718: debated on Tuesday 6 April 2010

Statement

My honourable friend the Exchequer Secretary has made the following Written Ministerial Statement.

On 7 December 2009 the Chancellor of the Exchequer announced the launch of the Asset Protection Agency (APA), an executive agency of HM Treasury.

The role of the APA and relationship with HM Treasury has been set out in the APA framework document, copies of which were deposited in the Libraries of both Houses at the time of the announcement.

After careful consideration of the APA’s activities in managing the asset protection scheme (“the scheme”) since its launch, the Chancellor has decided on a further delegation of decision-making to it from HM Treasury. Previously the APA was authorised to make decisions or exercise rights delegated to it in furtherance of the asset management objective.

Under the new delegation it will also be able to consider the reduction of risk to the taxpayer when making decisions or exercising any of the rights that have been delegated to it.

This change reflects our continued commitment to run the scheme efficiently and ensure tight management of the taxpayer’s risk.

An amended framework document that reflects this change has been published today and deposited in the Libraries of both Houses. The document is also accessible via the HM Treasury website at www.hm-treasury.gov.uk.