HC Deb 16 December 1986 vol 107 cc509-10W
16. Mr. Chapman

asked the Paymaster General if he will make a statement about the progress of the enterprise allowance scheme.

Mr. Trippier

The enterprise allowance scheme continues to flourish. By the end of November 1986 191,145 previously unemployed people had entered the scheme and over 71,000 are currently receiving the allowance.

Recent survey information shows that 54 per cent. of entrants to the scheme are still trading in their enterprise allowance scheme business three years after start-up. For every 100 businesses continuing at that stage, survey evidence indicates that 39 additional people have been taken on as employees.

24. Mr. Hickmet

asked the Paymaster General what is the latest figure for applicants for the enterprise allowance scheme.

Mr. Trippier

By the end of November the enterprise allowance scheme had assisted 191,145 previously unemployed people set up in self-employment. This includes 3,331 people who entered the pilot scheme between January 1982 and July 1983.

45. Mr. McLoughlin

asked the Paymaster General if he has any plans to extend the enterprise allowance scheme; and if he will make a statement.

Mr. Trippier

Since the introduction of the enterprise allowance scheme, up to the end of November 1986, 191,145 people have been helped to set up in business. The success of the scheme has led to the number of places being expanded from 86,000 in the financial year 1986–87 to 100,000 in 1987–88 and 1988–89.

55. Mr. Michael Forsyth

asked the Paymaster General how much money has so far been spent on the enterprise allowance scheme.

Mr. Trippier

From the beginning of the pilot scheme in January 1982 to the end of November 1986, £306 million has been spent on the enterprise allowance scheme. This includes £13.5 million in administration costs.

62. Mr. Hayes

asked the Paymaster General if he has any figures to indicate how many of those people who started their businesses on the enterprise allowance scheme are still in business after two years.

Mr. Trippier

The latest survey results show that 68 per cent. of entrants are still trading in their enterprise allowance scheme business 18 months after start-up arid 54 per cent. are still trading in their scheme business three years after start-up.