HC Deb 29 May 1968 vol 765 cc1805-7
10. Mr., Weatherill

asked the President of the Board of Trade when he proposes to take steps to stimulate and encourage the prosperity and growth of small businesses in accordance with the undertaking given to the House on 10th February, 1967.

Mr. Dell

My right hon. Friend hopes next month to launch a pilot scheme to assist small businesses to employ consultants. The Government have already announced a number of other measures which will help small firms including new or increased grants to the British Productivity Council, the British Institute of Management and the Centre for Interfirm Comparison.

Mr. Weatherill

Does the Minister recollect that on 10th February last year he accepted my Motion which urged him to take urgent and positive steps to encourage the prosperity and growth of this section of the business community? No action has been taken. These firms do not want subsidies; they want revision of the taxation system, particularly of the provisions in the Companies Act. Would the hon. Gentleman consider setting up a small business development bureau, possibly before the return of a Conservative Government, which will not be long delayed?

Mr. Dell

The assurance to which the hon. Member refers was given by my predecessor. The hon. Member is quite wrong in stating that nothing has happened since. On the contrary, I have indicated a series of things which have happened since which could be added to. As to the point about setting up a small business administration, the idea proposed by the small "Neddy" group which is studying small businesses will be considered.

Mr. Winnick

Leaving aside the crude point made by the hon. Member for Croydon, North-East (Mr. Weatherill), can my hon. Friend say if further action has been taken to help small firms with joint representations overseas? Does he agree that if there were this help to small businesses it would not only help exports but would encourage such firms to overcome export difficulties?

Mr. Dell

My hon. Friend will be aware that there is a series of schemes which help co-operative ventures in which small firms can take part.

Mr. Hall-Davis

Does the hon. Gentleman recognise that the sort of measures he has referred to are merely minor palliatives in the face of problems caused for small firms by Government taxation changes and that this is where help is needed?

Mr. Dell

I do not accept that they are small palliatives. On the contrary, they can be of considerable advantage to small firms and many which have taken advantage of the many facilities the Government offer have greatly benefited so far. One of the troubles is that too few of these firms take advantage of the facilities offered.

Mr. Patrick Jenkin

Is not this another example of the Government's practice of clobbering firms with one hand and giving subsidies and palliatives with the other? Is it not time we got away from this pattern and let these firms stand on their own feet as they wish to do?

Mr. Dell

They are not clobbered. They are offered assistance which can be of great value. I should have thought that hon. Members would be much better engaged in encouraging such firms to make use of the facilities which are available. These facilities are extensive.