Small Business Policy (Hansard, 16 January 1985)

§ Mr. Soames
asked the Secretary of State for Trade and Industry what are his principal objectives in small business policy for 1985.

§ Mr. Trippier
The Government's overall objectives in small firms policy in 1985 continue to be the stimulation of the growth of small businesses and self-employment and as a better understanding of their role in the community. Within these overall objectives we intend to:

—review the impact and effectiveness of the new loan guarantee scheme and encourage use of the business expansion scheme, so that the flow of finance to small firms is improved,

—sponsor seminars for professional advisers on business planning for small firms,

—encourage co-operation between the various small firms advisory agencies, stimulate the growth of local enterprise agencies and the contribution of the private sector, promote the facilities that the small firms service can offer to small businesses and complete computerisation of its inquiry service,

—hold a further local enterprise week in May to publicise the wide range of locally based assistance which is available to small firms,

—continue to remedy disadvantages suffered by small firms arising directly from their size,

—work with MSC in developing appropriate and accessible training facilities for those starting and running small firms, and in May to launch a video encouraging owner-managers of small firms to undertake relevant management training.

In addition, the work of Lord Young's enterprise unit, which has a bearing on small firms policy and the scrutiny report on administrative and legislative burdens, will be considered during 1985.

§ Mr. Soames
asked the Secretary of State for Trade and Industry what were the main achievements of small business policy in 1984.

§ Mr. Trippier
During 1984 the Government continued to foster conditions favouring the setting up and growth of small businesses, the total number of which had in 1980 to 1983 increased by more than 110,000. The more important achievements included:

—continuing development of the small firms service which handled 279,000 inquiries and new 23,000 counselling cases,

—encouragement of the growth of local enterprise agencies, which now number 233 with 35 being formed,

—the first local enterprise week was held on 17 to 22 June to encourage those offering help to small businesses to promote their work at local level,

—the enterprise allowance scheme operated by the Manpower Services Commission was extended and helped 42,000 unemployed people to start new businesses,

—the loan guarantee scheme was extended following the pilot phase until the end of 1985,

—equity investment in small companies was encouraged through the business expansion scheme, under which more than 10,000 investors put at least £75 million into 400 small companies in 1983–84,

—a nationwide series of seminars for professional advisers to increase their awareness of the problems of small firms finance, and Government schemes of assistance.