Written Answers of 9 November 1990

EDUCATION AND SCIENCE

  Teachers' Pay
  Mr. Beggs
  To ask the Secretary of State for Education and Science whether he will set up an independent pay review body similar to that of the Houghton committee in 1974 to determine future teachers' salaries and conditions of service; and if he will make a statement.

  Mr. Eggar
  No.

  Science Budget
  Mr. Bowis
  To ask the Secretary of State for Education and Science what guidance he has given the Advisory Board for the Research Councils in seeking its advice on the allocation of the science budget in 1991–92 to 1993–94; and if he will make a statement.

  Mr. Kenneth Clarke
  I have written to Sir David Phillips inviting the board's advice. The following is the text of my letter:I was grateful for the Board's advice for this year's Public Expenditure Survey on the resource needs of the Research Councils, Royal Society and Fellowship of Engineering.
  I am now able to tell you that this year's settlement maintains the value in real terms of the underlying Science Budget.
  The Science Budget for 1991–92 will be £920·8 million, and the planning figures for 1992–93 and 1993–94 are £1,023·7 million and £1,106·9 million. Total provision for Science in 1991–92 includes receipts from the European Community and non-voted public expenditure by the IPSR from privatisation receipts, and will amount to £930·1 million.
  Next year's Science Budget includes £1·8 million in respect of the transfer of responsibility for national supercomputing services from the Computer Board to the ABRC, and takes account of the rescheduling of postgraduate tuition fees, which results in a reduced requirement on the Research Councils of £8 million. The planning figures for 1992–93 and 1993–94 include:

  (a) £1·9 million in 1992–93 and £2 million in 1993–94 for the supercomputing transfer; and

  (b) £50 million in 1992–93 and £100 million in 1993–94 to reflect the proposed change in the balance of funding responsibilities between higher education institutions and the Research Councils from August 1992. It is possible that these figures will need to be further adjusted next year in the light of the further work I have commissioned from the Board and others.

  In order to make a like-for-like comparison between the Science Budget for 1991–92 and that for 1990–91, it is necessary to make appropriate adjustments for the reduced capital requirement from 1991–92 arising, in particular. from the completion of:

  (a) the RRS James Clark Ross, for which an earmarked allocation was made last year; and

  (b) the new building work at Polaris House.

  After making these adjustments, the Science Budget for 1991–92 is the same in real terms as in 1990–91. Set against the need to constrain public expenditure generally, this settlement provides the basis for the continuing development of the country's science base.
  I am making no earmarked allocations this year and I should be grateful to receive the Board's allocation advice.
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  Since the Science Budget is a matter of considerable Parliamentary and public interest, I propose to follow precedent by publishing the text of this letter in the form of a Parliamentary answer.

SOCIAL SECURITY

  Pensions Ombudsman
  Mr. Peter Bottomley
  To ask the Secretary of State for Social Security when he proposes to appoint a pensions ombudsman.

  Mr. Newton
  I am pleased to announce that Mr. Michael Platt has today been appointed the first pensions ombudsman to deal with disputes between individuals and their occupational or personal pension scheme. The pensions ombudsman will be able to investigate and decide cases where maladministration is alleged, and also deal with disputes of fact or law, for example, over the interpretation of the rules of the scheme. Mr. Platt will take up his appointment on 1 January 1991, and he will be able to receive complaints for investigation as from 2 April 1991.

TRADE AND INDUSTRY

  Consultancy Initiatives
  Mr. Riddick
  To ask the Secretary of State for Trade and Industry if he will make a statement on the consultancy initiatives.

  Mr. Lilley
  Since they were introduced in January 1988 the consultancy initiatives have made a major contribution towards overcoming the reluctance of small and medium-sized firms to use outside expertise to improve their competitiveness: over 63,000 firms have sought assistance under the scheme, the majority of which have never before used consultants. Two out of three firms which have completed consultancy projects achieve increased profitability within a year.

  Nevertheless, many established smaller firms with a potential for growth remain to be convinced that using expert advice can bring them real benefits. Moreover, consultants can do much more to market their services to small firms. I am therefore extending the scheme for a final three years from 1 April 1991, by which time I expect the consultancy market among small and medium-sized firms to be self-sustaining.

  A recent independent evaluation of the scheme, to be published in due course, confirms that a majority of consultancy initiative clients need only one assisted consultancy to be stimulated to further use of consultants at full market price. In order to increase value for money to the taxpayer, I have therefore decided to concentrate the support available: from 1 April 1991, only firms which have not previously used consultants under the scheme will be eligible.

  Many small firms have already been helped towards improved competitiveness and growth by the consultancy initiatives. In extending the scheme I intend that many more should be able to plan, with the scheme's help, to meet the challenges facing management in the 1990s, including the single market, environmental issues and new technology.

SCOTLAND

  Van Gogh Exhibition
  Mr. Bill Walker
  To ask the Secretary of State for Scotland what arrangements have been made to indemnify the forthcoming Van Gogh exhibition being held at the Burrell gallery.
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  Mr. Rifkind
  The Scottish indemnity ceiling in respect of loans to non-national instititions has been increased from £30 million to £200 million for the duration of the exhibition.