§ Mr. WatersonTo ask the President of the Board of Trade what are his plans for reforming Government support for business. [41076]
§ Mr. LangWe are today launching two new challenges. I am also confirming a major simplification of central schemes.
832WBoth challenges are designed to enhance the competitiveness of businesses, either through helping local partnerships to design and deliver high quality business support to firms—particularly smaller firms in their area—or through projects to improve the business performance of specific sectors of industry.
The local challenge will build on business link partnerships. It will reinforce the opportunities offered to small firms to access support in the co-ordinated way that these partnerships provide. It will encourage cross-partnership bids where these add value.
The sector challenge will bring together in one place the majority of Government funding for sectoral activity. it covers activities designed to have a broad impact on the competitiveness of sectors wherever they are located in the United Kingdom, including innovative approaches to export promotion.
A radical streamlining of DTI business support will reduce the number of separate schemes from 140 to fewer than 25 central programmes plus the two new challenges.
Further announcements in the coming weeks will set out in more detail our plans on specific schemes aimed at helping smaller firms to win through exporting, foresight the information society, and so on.
The Government have agreed criteria under which all current or potential new central schemes will be reviewed. Such reviews will be an on-going process with annual reports back to Ministers. We are committed to changing the emphasis of support away from central towards local and sectoral design and delivery. Over time, central schemes will become the exception, not the rule.
We are also committed to involving businesses and business support organisations more directly in deciding which schemes should continue. In future, we will consult businesses and business support organisations as a matter of course before taking decisions. I am pleased therefore to welcome the new consultative group being established by the business link partners to provide their input into this exercise.
Business told us that it wanted simpler, more accessible and more flexible support. The proposals announced today delivery just that.
I am placing copies of the local and sector challenge bidding guidelines in the Library of the House.