The Covid-19 Inquiry is hearing from Lord Mark Sedwill, the former head of the civil service who departed Government amid reported clashes with Dominic Cummings.
The former cabinet secretary is appearing after explosive claims surrounding his time in office resurfaced during the evidence of other key figures.
Lord Sedwill, a former diplomat, was running the civil service when the pandemic struck but resigned in September 2020.
He said the then-Prime Minister Boris Johnson was worried about a “political overreaction” to the pandemic, warning a cabinet meeting in February 2020 of "the economic damage of a crisis”.
When asked whether this amounted to underplaying the threat of Covid, Lord Sedwill said Mr Johnson was speaking at a time when ministers had been told the worst-case scenario was unlikely.
More than 230,000 people have died from Covid-19 since the fatal virus struck in early 2020.