§ Mr. GardinerTo ask the President of the Board of Trade (1) what steps she has taken to establish the precise financial status of North West London TEC and the proposed withdrawal of its partnership contribution to Business Link London North West; and what effect such withdrawal may have on the future viability of the Business Link; [41465]
(2) if she will publish (i) the committed partnership contributions, (ii) the actual contributions made, (iii) the funding disbursed by her Department and (iv) the generated income of Business Link London North West for the fiscal years (a) 1996–97, (b) 1997–98 and (c) that projected for 1998–99; [41464]
(3) what action she will take to safeguard the sums paid by her Department to North West London TEC as pump priming funding for Business Link London North West in a view of the TEC's withdrawal of its previously committed partnership contribution for 1998–99 as partial matched funding for her Department's funds. [41466]
§ Mrs. Roche[holding answer 11 May 1998]: The information is based on the data held by the Government Office for London and is also available in the North West London TEC's Business Plan:
£ Generated income Committed partner income Actual partner contribuion DTI funding 1996–97 40,000 n/a 255,000 834,240 1997–98 112,000 111,888 150,000 1,126,939 1998–99 196,000 1160,000 1160,000 11,027,916 1 Forecast The Government Office for London carries out regular financial audits of all its TECs. North West London TEC was audited in April 1997 and was assessed as being financially viable, and classified in the low risk category. The next financial audit of the TEC is planned for this summer.
North West London TEC has been instrumental in developing and enhancing a successful local Business Link partnership in its area. The TEC is committed to playing its part in the development of quality business and enterprise support services in line with my vision statement announced in October last year, and to enhancing its strategic role in this respect. I understand that the TEC has not reached any conclusions about its contribution to the Business Link for 1998–99. If the TEC were to withdraw its partnership contribution, the Secretary of State for Trade and Industry would have the right, at her discretion, to withhold pump-priming funding and to recover the pump-priming funding already paid. In addition, concerns about operational and financial viability that may result as a consequence of any of the partners' proposals to withdraw contributions would be subject to a thorough review by the Government Office for London. This is done in the normal course of business so as to ensure that the TEC has an operational Business Link in the area.