§ Mr. CousinsTo ask the Secretary of State for Trade and Industry what representations he has received(a) on the open marketing of off-balance sheet financing schemes and (b) calling for the curbing of such schemes; and from where.
§ Mr. RedwoodI replied to questions from the hon. Member for Great Grimsby (Mr. Mitchell) about off-balance sheet finance in April, but have not received any subsequent representations. The extension of the definition of a subsidiary undertaking in the Companies Act 1989 will bring on to the balance sheet a number of schemes which would previously have been off-balance sheet. The issue of off-balance sheet finance is also being addressed by the Accounting Standards Committee, which published an exposure draft in May entitled "Reflecting the substance of transactions in assets and liabilities".
§ Mr. CousinsTo ask the Secretary of State for Trade and Industry what representations he has received on the different treatment of(a) research and (b) development expenditure in company accounts.
§ Mr. RedwoodThe issue of disclosure of research and development expenditure was discussed during the passage of the Companies Bill last year. I am not aware of any representations since then on the treatment of such expenditure in company accounts.