§ Mr. Ernie Rossasked the Secretary of State for Scotland if he will set out his Department's practice in monitoring projects for which offers of regional selective assistance under section 7 of the Industry Act 1972 have been made; how many staff are involved in this work; and whether the monitoring procedures include visits by his staff to the companies concerned.
§ Mr. Alexander FletcherIn monitoring projects for which offers of assistance have been made under section 7 of the Industry Act 1972, the objective is to establish that public funds have been used for the purpose for which they were made available and that the terms and conditions of the offer have been, and continue to be, complied with. 425W In seeking payment of an instalment of grant, applicants are obliged to submit a progress report both on the project and on their current financial position. Thereafter, officials may seek further information to allow them to form a judgment on the applicant's viability and on the progress of the assisted project.
Nine staff are wholly employed on monitoring work and other senior staff also devote at least part of their time to it. Expert financial advice is available, in addition, as and when required.
A company is visited at least once during the grant payment period and more frequently when the circumstances warrant it.