Mixed reaction to Government trade credit insurance proposal

10th June 2009 | business | Industry trade associations have offered bouquets and brickbats to Lord Mandelson’s decision to backdate the trade credit insurance top up scheme to October of last year.

The British Furniture Confederation, backed mainly by furniture supply firms, called the move a victory for the British furniture industry, with chairman Martin Jourdan saying it would provide a ‘huge boost,’ while retail trade association the BRC said the announcement didn’t go far enough, and called for a further backdating to April 2008.

A BRC spokesman said insurers began removing cover last Spring when the downturn started to bite and the Government should provide support to companies affected from that period. It also said the Government should do more to ensure insurers undertake more detailed research so underwriting decisions are accurate.