HC Deb 31 January 1997 vol 289 cc387-8W
Mrs. Roche

To ask the Secretary of State for the Environmental what is the total estimated cost in the financial year 1997–98 of redundancy payments and pay in lieu of notice for staff made redundant as a result of the winding up of the Rural Development Comission's advisory service for small businesses in rural development areas. [13886]

Mr. Clappison

I am informed by the Rural Development Commission that the total estimated cost of redundancy payments in the financial year 1997–98 for staff made redundant as a result of winding up the commission's business service is £1,096,186.

Mrs. Roche

To ask the Secretary of State for the Environment how much money was distributed by the Rural Development Commission to small firms in rural areas in the financial year 1995–96 in the form of rural counselling grants; how many businesses were in receipt of these grants; and what is the proposed expenditure on rural counselling grants in 1996–97. [13888]

Mr. Clappison

I am informed by the Rural Development Commission that rural counselling grants are given to business advisory agencies, such as local enterprise agencies, not direct to small firms. In 1995–96 £301,000 was given to 39 agencies for them to provide business advice to 2,887 small firms in rural development areas. The expected expenditure on rural counselling grants in 1996–97 is £364,000.

Mrs. Roche

To ask the Secretary of State for the Environment how many small firms in rural development areas are currently clients of the Rural Development Commission's business service. [13885]

Mr. Clappison

I am informed by the Rural Development Commission that there are currently 8,529 small firms in rural development areas that are clients of the commission's business service.

Mrs. Roche

To ask the Secretary of State for the Environment what savings will be achieved in 1997–98 by the winding up of the Rural Development Commission's advisory service for small businesses in rural development areas, taking into account expenditure incurred by the proposed creation of rural development officer posts. [13889]

Mr. Clappison

I am informed by the Rural Development Commission that its estimate of net savings of salary and associated costs in 1997–98 to be achieved by the winding up of the commission's business advisory service is £624,000. This allows for expenditure incurred by the creation of additional rural development officer posts. A further £1,185,000 of programme expenditure will be saved by the ending of the commission's marketing support scheme and specialist consultancy support service.