§ 3. Mr. Phil Willis (Harrogate and Knaresborough)When he expects the university for industry to be launched; what its projected budget is for each of the next three years; from where those funds will be provided; and if he will make a statement. [55092]
§ The Parliamentary Under-Secretary of State for Education and Employment (Mr. George Mudie)The university for industry will be launched in 2000. The Government have committed £15 million for start-up costs and £40 million for the financial year 1999–2000. Future years funding will be announced in due course. Other moneys are being expended through pilot schemes under the European social fund Adapt programme.
§ Mr. WillisI welcome the hon. Gentleman to his new position. Our paths have been crossing for the past 20 years and it is perhaps appropriate that his first question this Question Time should be from the hon. Member for Harrogate and Knaresborough, who educated both his sons. May I say how pleased we are that we at last have some information about the university for industry and a launch date? Will the money that the Minister has announced—about £40 million plus £6.25 million, which is for Learning Direct—come out of the higher education budget? If that is so, does it not mean that, by 2000, it will represent a 16.5 per cent. cut in the money announced in the comprehensive spending review?
§ Mr. MudieI thank the hon. Gentleman for his kind remarks. My first question could not have come from a nicer person, although I might change my mind when I see who is to ask the second.
The university for industry prospectus was issued in March and should be available in the Library—if hon. Members want a copy, I shall certainly provide them with one. The money for the university is not from the higher education budget, but from a separate budget, which was negotiated under the comprehensive spending review. The £6.5 million for the direct line is additional to the £40 million.
§ Mr. Derek Wyatt (Sittingbourne and Sheppey)Did my hon. Friend read in the Financial Times this week that
UK banks and building societies are on the verge of forming a national network of cash machines for the first time"?Will he open negotiations with the banks and the lottery, which is also a national grid of sorts, as the downtime between midnight and 6 am when bank cash desks and the lottery are not used provides an opportunity to deliver the university for industry on a different system?
§ Mr. MudieAlthough I am not directly responsible for the national grid for learning, I am aware that my hon. Friend is alive to technological complexities and interchangeability. His point will be taken on board.
§ Mr. Ian Bruce (South Dorset)The Opposition would welcome the establishment as quickly as possible of the university for industry, which I hope will be a university for life and continuing learning, but would not it be more sensible to put into the scheme a large lump of the money that is being wasted on the new deal? Is the Minister aware that the number of people who came out of long-term unemployment in the most recent quarter is lower than the number of people who did so a year ago? He could pay for continuing learning by cutting some of the waste.
§ Mr. MudieThe House will be pleased to see the conversion of Conservative Members to the new deal—for a year or so, we have been wondering why they were opposed to it. The university for industry has to date received £55 million, and further moneys are—depending on the corporate plan—to come, including £76 million from ESF Adapt programme for development, which is a considerable amount. The new deal has brought care, sympathy and action to our poorer communities—
§ Mr. MudieIt may not be working as well as Conservative Members want, but they did nothing in government—at least we have introduced the new deal.