HC Deb 01 November 1995 vol 265 cc366-8W
Mr. Hinchliffe

To ask the Secretary of State for Education and Employment what plans she has to make training and enterprise council board members more accountable to the community. [40424]

Mr. Paice

Training and enterprise councils are already accountable to their local communities in a number of ways. The contract Government have with TECs requires them to publish summaries of their corporate and business plans, to hold public meetings at least annually and to publish an annual report. All TECs have endorsed the TEC National Council framework on local accountability to which they are required to have due regard under their contract.

Mr. Hinchliffe

To ask the Secretary of State for Education and Employment how individual training and enterprise council board members' activities are monitored to ensure they are in the public interest. [40420]

Mr. Paice

Training and enterprise councils are private companies. The activities of the directors are a matter for the TECs themselves in compliance with company law. The Government contract with TECs requires them to maintain a register of directors' interests, which is open to regular inspection by staff from the Government regional office. All TECs have endorsed the TEC National Council framework on local accountability and the Cadbury code on corporate governance to which they are required to have due regard under their contract.

Mr. Hinchliffe

To ask the Secretary of State for Education and Employment if she will make a statement on the Confederation of British Industry's review of training and enterprise councils and local enterprise companies, "Making Labour Markets Work", and its recommendation in respect of enhanced local democracy. [40440]

Mr. Paice

In July this year the Training and Enterprise Council National Council published a "Framework for the Local Accountability of TECs in England and Wales". The framework, which is based on the principles of openness, integrity and accountability, covers the issues relating to local accountability addressed by the Confederation of British Industry in its 1993 report, and in particular the recommendation that the council develops a voluntary code of practice. TECs are required by their contract with Government to have due regard to the framework. Local enterprise companies in Scotland are the responsibility of my right hon. Friend the Secretary of State for Scotland.

Mr. Hinchliffe

To ask the Secretary of State for Education and Employment if she will make a statement on the merger arrangements between training and enterprise councils and chambers of commerce. [40423]

Mr. Paice

The Government have agreed to a pilot programme of voluntary mergers to test local initiatives which build on the existing strengths of training and enterprise councils and chambers. So far five proposals for merger have been approved.

Mr. Hinchliffe

To ask the Secretary of State for Education and Employment what plans she has to(a) increase the numbers of directors on training and enterprise boards, (b) maintain a register of board members' interests, (c) appoint directors for specific terms of office and (d) ensure that directors receive initial training. [40419]

Mr. Paice

There are no plans to increase the number of directors on the boards of training and enterprise councils. The contract the Government have with TECs requires them to maintain a register of the declared interests of directors. As private companies, the organisation of TECs is set out in their articles of association. These require the directors to seek re-election by the membership every three years. Induction training is a matter for each TEC board.

Mr. Hinchliffe

To ask the Secretary of State for Education and Employment what actions she plans to take to promote women, representatives of ethnic minority groups and the voluntary sector becoming involved in training and enterprise council boards of directors. [40421]

Mr. Paice

As private companies, training and enterprise councils are responsible for the appointment of their directors. The Government's contract with a TEC requires at least two thirds of the directors to be chairmen, chief executives, senior partners or top operational managers from the private sector. The remaining directors should have equivalent status and be drawn from education, economic development, trade unions, voluntary organisations or the public sector. Directors are appointed as individuals and not as the representatives of another organisation. The Training and Enterprise Council National Council framework on local accountability, endorsed by all TECs, expects boards to have the necessary breadth and balance to reflect the priorities of the local community and economy.