HC Deb 15 July 1993 vol 228 cc617-9W
Dr. Moonie

To ask the President of the Board of Trade what definition of a small or medium-sized enterprise is used by his Department.

Mr. McLoughlin

The size of a business needs to be considered in relation to its sector, to its stage of development as well as in the context of any particular scheme or initiative.

The DTI does not therefore use a single definition for all purposes. Instead DTI schemes targeted at small and medium-sized businesses adopt different definitions depending on their particular objectives.

For example, the small firms merit award for research and technology (SMART) competition is for individuals or businesses with fewer than 50 employees; whereas the enterprise initiative consultancy scheme is open to firms employing up to 500 employees. The loan guarantee scheme, on the other hand, makes use of both employee number and turnover and these differ from sector to sector as appropriate.

Dr. Moonie

To ask the President of the Board of Trade what is the maximum size of company that can receive support under the EUREKA programme in the United Kingdom; and what is the maximum size in each of the other participating countries.

Mr. McLoughlin

With regard to the restrictions on the size of company that can receive support from my Department for EUREKA projects, I refer the hon. Member to the answer I gave to my hon. Friend the Member for Milton Keynes, North-East (Mr. Butler) on 30 June 1993, Official Report, column 513. This outlines the changes that will occur after 1 September 1993.

The restrictions on the provision of funding for EUREKA projects in other countries is a matter for their individual Governments and disclosure of information is limited. Recent information that is available is presented below:

Country Restrictions
Austria None
Belgium Priorities for innovative projects with likely economic/employment benefits
Denmark None
Finland Priorities for industrial funding especially SMEs and market orientated projects
France Priorities for SMEs
Germany Certain technology areas restricted
Greece Priorities for large national industry and SMEs
Iceland Priorities for industry, market orientated projects for national advantage
Ireland Priorities for manufacturing industry. State enterprises not eligible
Italy Government bodies ineligible. Research institutes must be associated with industry
Luxembourg Luxembourg-based industrial partner necessary
Netherlands Research institutes and universities ineligible
Norway Universities and research institutes must constitute with national companies
Portugal No information available
Spain Priorities according to Spanish R and D priorities
Sweden SMEs given priority
Switzerland Industry ineligible
Turkey No information available

Dr. Moonie

To ask the President of the Board of Trade if he will make a statement on the future participation of the United Kingdom in the EUREKA programme.

Mr. McLoughlin

EUREKA is an industry-led, bottom-up initiative, but I expect the United Kingdom to continue to be a major participant with United Kingdom organisations both initiating and joining new EUREKA projects. As part of its commitment to EUREKA the United Kingdom will take over the EUREKA chair in 1996–97.

Dr. Moonie

To ask the President of the Board of Trade what is the maximum size of company that can benefit from(a) the small firms loan guarantee scheme, (b) LINK, (c) advanced technology programmes, (d) SMART and (e) Support for products under research.

Mr. McLoughlin

The maximum size of company that can benefit from the small firms loan guarantee scheme, LINK, advanced technology programmes, SMART and SPUR is currently as follows:

Small firms loan guarantee scheme—companies of 200 employees or less, with the exception of the construction, mining and quarrying industries where the limit is 25, that also meet the following sectoral criteria:

  • Agriculture, horticulture and service industries—maximum turnover of £500,000;
  • Wholesaling—maximum turnover £2,000,000;
  • Manufacturing—maximum turnover £3,000,000;
  • Catering—maximum of two outlets;
  • Road transport—maximum of five vehicles.

LINK and advanced technology programmes1—there is no size limit.

SMART—49 employees or fewer.

SPUR—500 employees or less.

1 From 1 September 1993 advanced technology programmes will be closed to applications for new projects.

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