Evaluation of the Trade Credit Reinsurance (TCR) scheme

Practice area: Entrepreneurship & SMEs | Finance | Public Policy
Client: Department for Business, Energy & Industrial Strategy
Published: 12 July, 2023
Keywords: covid impact evaluation insurance process evaluation support scheme trade credit insurance value-for-money

The uncertainties created by the COVID-19 pandemic posed serious risks to businesses and by extension to the trade credit insurance (TCI) market. To prevent the likely withdrawal of cover from the TCI market by insurers, the government decided to design and operate the Trade Credit Reinsurance (TCR) Scheme. The scheme’s aim was to support UK businesses, to minimise reductions in economic activity and disruptions in supply chains, and to aid economic recovery following the COVID-19 pandemic.

BEIS commissioned London Economics to conduct a process evaluation and interim impact evaluation of the TCR Scheme. The process evaluation assesses the effectiveness of the scheme and the processes adopted to deliver and operate the TCR Scheme, while the interim impact evaluation provides an indicative Value-for-Money (VfM) assessment and an assessment of the required quantitative data. As part of the analysis, lessons for future interventions of a similar nature have been identified.

The Full Report is available here.