HC Deb 24 May 1982 vol 24 cc227-8W
Mr. Stuart Holland

asked the Secretary of State for Employment whether, in view of the decision of the Manpower Services Commission in October 1981 to fund the House of Lambeth project to expand from 31 to 40 places and the likely waste of capital already committed to the project if funding ends, he will reconsider the extent to which the project meets the community benefit criterion of the community enterprise programme with a view to continuing funding.

Mr. Alison

I understand that officials of the Manpower Services Commission have discussed the difficulties facing the House of Lambeth with the scheme sponsors and that the Manpower Services Commission is content to continue funding for such parts of the scheme as might meet the existing community enterprise programme criteria.

Mr. Stuart Holland

asked the Secretary of State for Employment what interpretation of the word "economic" in the Manpower Services Commission handbook provision, that schemes should contribute to or provide economic benefits for the community, is used for the purpose of assessing community enterprise programme shemes.

Mr. Alison

The term "economic benefits to the community", like the term "community benefit", is deliberately not defined in the community enterprise programme handbook. Projects put forward by sponsors are considered individually by the Manpower Services Commission with the guidance of local special programmes area boards. They will judge whether or not projects are of economic benefit to the community in the light of local needs or circumstances.

In making this judgment it is clearly necessary to avoid breaching the other essential qualifying criteria for CEP schemes—particularly that projects should not put real jobs at risk.

Mr. Stuart Holland

asked the Secretary of State for Employment whether he has required the Manpower Services Commission to reinterpret the guidelines for projects funded by the community enterprise programmes.

Mr. Alison

No.

Mr. Stuart Holland

asked the Secretary of State for Employment on what grounds the Manpower Services Commission has decided that the House of Lambeth enterprise previously funded by it to the extent of some £¼ million now fails to meet the community benefit criterion of the community enterprise programme and for that reason is not regarded as refundable.

Mr. Alison

The House of Lambeth scheme was outside the community benefit criterion of the community enterprise programme when the decision to renew funding was taken. The Manpower Services Commission has told the sponsor it will not be able to renew the funding of this scheme as it is presently constituted but that it could do so if the scheme is brought within the CEP criterion. In taking this decision MSC is taking the earliest opportunity to rectify the position.

Mr. Stuart Holland

asked the Secretary of State for Employment whether he has required the Manpower Services Commission to reduce funding of community enterprise programme projects.

Mr. Alison

No. The Government have made available additional resources under the community enterprise programme to support an additional 5,000 places during 1982–83.