§ Mr. IllsleyTo ask the Secretary of State for Northern Ireland for what reasons there is a planned decrease in spending on community projects within the Department of Economic Development in(a) 1996–97 and (b) 1997–98. [26203]
§ Mr. AncramResponsibility for the subject in question has been delegated to the Training and Employment Agency under its chief executive, Mr. Ian Walters. I have asked him to arrange for a reply to given.
Letter from Ian Walters to Mr. Eric Illsley, dated 22 April 1996:
The Secretary of State for Northern Ireland has asked me as Chief Executive of the Training and Employment Agency to reply to your question about the funding of community projects.The decision to reduce the budget allocated to the Action for Community Employment (ACE) programme was taken against the background of the very encouraging performance of the Northern Ireland economy. With unemployment now at its lowest level for 14 years, employment opportunities increasing and with record numbers of job vacancies being notified by employers to Training and Employment Agency offices, the need to maintain community based temporary work programmes at former levels has diminished. Public Expenditure priorities have moved towards measures which will further encourage and sustain these very positive economic trends.This Agency recognises a continuing need to assist job seekers and, in addition to its many other services and programmes, still expects to spend £46 million this financial year to provide over 8000 places for the long term unemployed on community based projects funded under ACE and the pilot Community Work Programme. In addition, £2 million is available under the package of support for ACE schemes announced by Baroness Denton on 19 February 1996.I hope that you find this reply helpful.