Redbridge Council received more than 500 “duplicate, fraudulent and inaccurate” claims for coronavirus-related small business grants.
The council responded today to criticism that it was failing to support businesses affected by the lockdown using the millions provided by Government fast enough.
As of April 26, government figures showed less than half of Redbridge businesses thought to be eligible for support had been paid, the lowest proportion of any east London borough.
A council spokesperson said today staff had handed out almost two thirds of the almost £50 million grant but that relevant checks needed to be carried out.
Deputy leader Cllr Kam Rai
Deputy leader Cllr Kam Rai said: “This has been a massive logistical exercise for the council. Our staff have been working tirelessly to ensure payments are made quickly and accurately.
“This is money from the public purse and it’s therefore essential we carry out the relevant checks to make sure the funding is being paid correctly.
“In doing so we have identified and prevented more than 500 duplicate, fraudulent and inaccurate claims.”
More than 2,100 businesses in the borough have now received £31.6 million worth of the funding collectively.
Cllr Rai said in some cases the process was held up because “further information” was needed to validate the claim, such as when businesses do not pay business rates or where company names had changed.
He added: “We’ll continue to process eligible payments as quickly as we can and would strongly encourage any businesses to check the criteria and claim their grant at https://www.redbridge.gov.uk/coronavirus-information-hub/coronavirus-support-for-businesses/.”
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