No, not really

A small government agency is supporting fossil fuel projects abroad with estimated carbon emissions of a country the size of Portugal, it has emerged.

UK Export Finance (UKEF), a government agency in the Department for International Trade, is spending billions of pounds on the projects, Newsnight researchers have found.

UKEF does export finance and credit guarantees.

Agreed, it’s a silly thing for government to be doing. But it most certainly doesn’t spend billions doing it. Total turnover might well be billions but not spending….

13 thoughts on “No, not really”

  1. Isn’t this the shiny new name for what used to be ECGD and it’s in the business of underwriting export credits rather than funding which comes from commercial sources rather than HM Treasury. It is arguable whether or not governments should be involved in export promotion but most do so and some go further and sweeten deals with bilateral development money.

  2. Ah… Newsnight + Greenpeace… That’ll do…. [/sarc].

    Greenpeace would have us all back in the cave with a Sustainable Wood Fire… And then probably proceed to complain about the smoke..

  3. I would hope the costs are limited to legal fees and admin, ie that very few guarantees have to be paid out. If I were interested, I would look it up. Google probably knows

  4. There are only two ways to cost it. One is the open market value of the credit guarantees that they’re underwriting; but perhaps there are no willing market-makers. The other way is to look at how much actually defaults. All other figures are just lies.

  5. OK it’s not very much really

    “In this context, the low volume of new claims in each of the past 5 years, from a portfolio of
    around £20 billion at risk, demonstrates a strong capability in managing credit risk. Taking the
    last 5 years, the average claims paid as a proportion of the average amount at risk would be:
    £1 for every £4,031 at risk, or 0.024%”

    Claims paid 2018-19 £0m,versus £2m the previous year

    https://www.google.com/url?sa=t&source=web&rct=j&url=https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/810203/UKEF_Annual_Report_2018-19.pdf&ved=2ahUKEwiHs-74up_nAhVBrHEKHWZJBK0QFjAAegQIBxAC&usg=AOvVaw19M2f7XRO1u6G5MxN_3ZwS

  6. @Grikath

    Watch this, St Greta

    Yesterday I caught up with Dr Patrick Moore via YouTube. What a wonderful fella! I hadn’t known that he, Greenpeace’s founder, had also given up on his creation, but had become an evangelical proselytiser against the hokum of CC/GW which has infected our world like the bubonic plague … Even Saint Greta might learn something from someone who knows what they’re talking about. Then again, probably not.

    Check out Tony Heller channel debunking real climate science Shows old newspaper clippings from eighteenth/nineteenth century showing the weather was as warm and warmer back then

  7. TMB.
    Hit the refresh button on your router & then ‘resend.’ when it comes up. Couple, three times usually foxes it.

  8. Pcar, I gave the link to the site. I am not so interested in selling stuff abroad that I would understand the answers

  9. @Diogenes

    OK

    P 12
    Our support is provided on the following terms (see pages 44 to 63 for more detail):
    • we charge a premium to reflect the risk we assume
    • commercial rates of interest are charged on the lending we support, at a rate reflecting UK government risk
    • the premium we charge must cover our anticipated long-term losses and operating costs
    • we aim to operate at no net cost to the taxpayer over business cycles

    P44
    [Photo of 20/30s Diverse M&F]
    A Risk Approval Diversity Division meeting, discussing the global risk outlook….

    https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/810203/UKEF_Annual_Report_2018-19.pdf

    Gave up there

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