BESA welcomes new government financial guarantee

摘要

The Building Engineering Services Association (BESA) has welcomed the government's announcement of further support for businesses provided by a Trade Credit Insurance guarantee of business-to-business transactions. Economic Secretary to the Treasury John Glen today announced that businesses with supply chains that rely on Trade Credit Insurance and are experiencing difficulties maintaining cover because of the current COVID-19 crisis will received support in the form of a temporary government backed guarantee. This will help to maintain most insurance coverage across the market. Trade Credit Insurance provides cover to hundreds of thousands of business-to-business transactions, particularly in non-service sectors, such as manufacturing and construction. It insures suppliers against the possibility of another party defaulting on payment. This gives businesses the confidence to trade with one another. However, because of the current crisis businesses are struggling to pay bills and risk having credit insurance withdrawn or their premiums increasing to unaffordable levels.