§ Mr. Ralph Howellasked the Secretary of State for Employment, further to his reply to the hon. Member for Bristol, North-East (Mr. Palmer) Official Report, 13th December 1977, column 186, by what authority the Manpower Services Commission is permitted to use job creation funds in order to finance cooperative workshops and other co-operative projects which will be in competition with private industry.
§ Mr. GoldingMy right hon. Friend has authorised the Manpower Services Commission to operate the job creation programme on his behalf under Section 2(2)(a) of the Employment and Training Act 1973. He has agreed that up to 1 279W per cent. of the funds allocated to the programme may be used to provide financial assistance to workshop projects, including co-operatives, which, in addition to creating temporary employment opportunities, are intended to become self-financing by the end of the period of funding. Such projects may not be funded where there is likely to be any significant consequential loss of business to other employers or any loss of jobs.