HC Deb 10 June 1988 vol 134 cc711-2W
Mr. Hayward

To ask the Secretary of State for Employment, if he will make a statement on the recent value-for-money scrutiny of the enterprise allowance scheme.

Mr. Cope

The efficiency unit conducted a scrutiny of the enterprise allowance scheme in 1987 as part of its continuing programme of work. I have now considered the report prepared by the scrutiny team. The scrutiny found the scheme offered good value for money, and no major changes to the operation or rules of the scheme are planned. The report makes recommendations for improving the efficiency of the administration of the scheme, and for improving the success and growth of the businesses established through it. My Department has drawn up an action plan in response to the report and we will be introducing a number of pilot projects to implement the team's recommendations. These involve requiring every applicant to complete a simple business plan as a condition of entry to the scheme and reducing the number of monitoring visits made by officials. We also intend to take steps to make more and better training available to those applying for the scheme. I have arranged for copies of the scrutiny report and my Department's commentary to be placed in the Library.