§ Mr. McNamaraTo ask the Secretary of State for Education and Employment what level of provision each TEC has made for the severance packages of its chief executive. [100109]
§ Mr. McNamaraTo ask the Secretary of State for Education and Employment what level of liabilities are reported in the accounts of each of the 72 TECs for 1998–99. [100105]
§ Mr. WicksThe following table gives the liabilities for each of the 72 TECs as reported in their 1998–99 audited statutory accounts.
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Liabilities reported in the TECs' accounts for 1998–99 £ TEC Current liabilities Long term liabilities Total liabilities FOCUS 12,303,000 0 12,303,000 AZTEC 3,255,169 0 3,255,169 North West London 2,212,456 356,871 2,569,327 LETEC 7,024,701 120,000 7,144,701 West London 7,670,274 2,313,248 9,983,522 South London 6,188,000 0 6,188,000 North London 6,230,962 0 6,230,962 Bedfordshire 2,572,517 374,195 2,946,712 Suffolk 2,784,381 0 2,784,381 Greater Peterborough 2,451,339 82,676 2,534,015 Norfolk and Waveney 3,858,000 0 3,858,000 Hertfordshire 6,326,000 454,000 6,780,000 Essex 5,247,000 0 5,247,000 Cambstec 1,971,900 67,103 2,039,003 The Link Group (Gloucester) 1,955,155 37,785 1,992,940 Wiltshire 3,476,645 0 3,476,645 Westec 6,321,000 0 6,321,000 Somerset 1,923,021 226,906 2,149,927 Dorset 4,316,992 0 4,316,992 Prosper 6,811,000 0 6,811,000 Coventry and Warwickshire 5,350,802 0 5,350,802 Dudley 2,468,992 148,265 2,617,257 Wolverhampton 2,433,000 0 2,433,000 Staffordshire 3,938,000 0 3,938,000 Shropshire 3,036,069 48,000 3,084,069 Walsall 1,237,523 0 1,237,523 Sandwell 2,979,456 33,814 3,013,270 HAWTEC 5,979,665 699,652 6,679,317 Birmingham 9,712,000 0 9,712,000 North Derbyshire 1,657,758 0 1,657,758 Greater Nottinghamshire 1,953,000 0 1,953,000 North Nottinghamshire 2,219,611 0 2,219,611 Leicestershire 3,083,678 0 3,083,678 Lincolnshire 3,479,244 0 3,479,244 Northamptonshire 1,762,303 0 1,762,303 South Derbyshire 2,400,000 0 2,400,000 Sheffield 4,813,000 0 4,813,000 Calderdale and Kirklees 3,297,581 0 3,297,581 Bradford and District 2,399,946 0 2,399,946 Barnsley and Doncaster 4,400,000 9,000 4,409,000 Wakefield 2,113,181 0 2,113,181 Leeds 2,362,034 0 2,362,034 Humberside 4,156,021 23,711 4,179,732 Rotherham 2,898,837 326,683 3,225,520 North Yorkshire 2,429,000 0 2,429,000 Rochdale 1,327,936 0 1,327,936 South and East Cheshire 2,149,310 221,009 2,370,319 Oldham 1,423,500 0 1,423,500 Stockport and High Peak 1,835,083 0 1,835,083 Bolton and Bury 2,798,985 1,291,376 4,090,361 Manchester 11,415,200 0 11,415,200 Wigan 2,890,558 3,924 2,894,482 CEWTEC 3,735,570 0 3,735,570 Cumbria 2,299,592 361,163 2,660,755 LAWTEC 4,617,144 0 4,617,144 Eltec 6,954,928 0 6,954,928 St. Helens 1,773,686 15,000 1,788,686 Normidtec 4,642,854 0 4,642,854 Merseyside 7,088,309 15,005 7,103,314 Sunderland City 2,851,917 6,496,080 9,347,997 Northumberland 4,224,816 5,819,136 10,043,952 County Durham 4,496,169 0 4,496,169 Tees Valley 5,998,000 245,000 6,243,000 Tyneside 3,914,000 762,000 4,676,000 Total Liabilities 283,515,923 20,807,587 304,323,510 Source:
1998–99 TEC statutory accounts
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§ Mr. McNamaraTo ask the Secretary of State for Education and Employment what contingency plans he has prepared to deal with under-estimated liabilities in the same manner as reserves and assets upon the winding up of the TECs. [100107]
§ Mr. WicksAs private companies, it is ultimately the responsibility of each TEC to ensure it assesses its liabilities accurately and that it has available sufficient funds to meet these. The Secretary of State has no obligation through the contract to meet any liabilities which cannot be met from a TEC's own resources. However, through its contract with the TEC, the Secretary of State has agreed to put in place arrangements to provide funds to meet the costs arising after 25 March 2001 in respect of those persons already participating under Work Based Training for Young People and Work Based Learning for Adults so that they can complete their individual training plans. Similar arrangements also exist for any non-discretionary activity directly funded by the Secretary of State.
§ Mr. McNamaraTo ask the Secretary of State for Education and Employment what steps he is taking to ensure that the level of liabilities reported in TEC accounts is accurate and based on a realistic appraisal of the future costs each is likely to incur. [100106]
§ Mr. WicksTEC statutory accounts are required under company law to be audited by the TECs' external auditors. As part of their work, the auditors will have to satisfy themselves that the level of liabilities reported are
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Expenditure by each TEC (1998–99) £ TEC Direct expenditure Administration costs Total expenditure Isle of Wight 2,708,738 1,168,021 3,876,759 Milton Keynes and North Buckinghamshire 9,790,633 1,316,444 11,107,077 Sussex 20,555,000 5,205,000 25,760,000 Thames Valley Enterprise 22,819,163 3,122,054 25,941,217 Surrey 12,889,884 2,952,264 15,842,148 Heart of England 10,175,917 4,174,014 14,349,931 Hampshire 28,245,000 3,455,000 31,700,000 Kent 26,551,139 6,782,937 33,334,076 FOCUS 38,353,000 8,679,000 47,032,000 AZTEC 13,496,011 1,707,968 15,203,979 North West London 9,835,424 1,232,898 11,068,325 LETEC 30,088,516 3,459,854 33,548,370 West London 22,113,840 1,994,456 24,108,296 South London 31,706,000 4,956,000 36,662,000 North London 16,661,216 4,100,121 20,761,337 Bedfordshire 11,933,191 2,530,158 14,463,349 Suffolk 14,030,940 1,178,790 15,209,730 Greater Peterborough 9,630,473 1,935,513 11,565,986 Norfolk and Waveney 15,503,000 1,114,000 16,617,000 Hertfordshire 21,081,000 2,753,000 23,834,000 Essex 25,277,000 3,174,000 28,451,000 Cambstec 7,850,029 2,189,538 10,039,567 The Link Group (Gloucester) 12,838,177 2,112,791 14,950,968 Wiltshire 10,006,885 1,915,598 11,922,483 Westec 18,635,000 3,060,000 21,695,000 Somerset 9,856,380 3,488,627 13,345,007 Dorset 13,497,468 1,460,454 14,957,922 Prosper 36,775,000 6,138,000 42,913,000 Coventry and Warwickshire 21,660,079 4,163,847 25,823,926 Dudley 9,238,486 1,140,324 10,378,810 Wolverhampton 8,910,000 1,797,000 10,707,000 Staffordshire 26,630,000 2,500,000 29,130,000 Shropshire 10,534,535 2,228,184 12,762,719 Walsall 8,152,595 1,777,744 9,930,339 Sandwell 11,295,422 1,431,064 12,726,486 valid and that the accounts give a true and fair view of the finances of the TEC. Government Offices are also discussing transition plans with TECs which include a detailed assessment of the assets and liabilities of each TEC.
§ Mr. McNamaraTo ask the Secretary of State for Education and Employment if the moneys each of the TECs is contributing to the legal fund controlled by the TEC National Council is listed as liabilities in their audited statutory accounts 1998–99; and if they are liabilities upon the Secretary of State's funds. [100108]
§ Mr. WicksThe latest available audited statutory accounts are for the year ended 28 March 1999 and as such precede the announcement of the White Paper "Learning to Succeed". They do not include any liabilities for contributions to a legal fund.
§ Mr. McNamaraTo ask the Secretary of State for Education and Employment if he will list expenditure by each TEC(a) since the publication of the White Paper, "Learning to Succeed-a New Framework for Post-16 Learning" in June 1999 and (b) in the 12 months preceding its publication. [99935]
§ Mr. WicksThe following table shows a list of expenditure in the 12 months preceding the publication which has been taken from the audited statutory accounts for the year ended 28 March 1999. For the period since the publication (July to September 1999) the TECs management accounts, although not directly comparable, show total expenditure of £370 million.
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Expenditure by each TEC (1998–99) £ TEC Direct expenditure Administration costs Total expenditure HAWTEC 16,466,530 4,009,831 20,476,361 Birmingham 47,966,000 4,131,000 52,097,000 North Derbyshire 9,854,454 2,447,470 12,301,924 Greater Nottinghamshire 12,893,000 2,988,000 15,881,000 North Nottinghamshire 15,200,648 521,202 15,721,850 Leicestershire 18,721,539 2,907,925 21,629,464 Lincolnshire 22,773,538 0 22,773,538 Northamptonshire 11,038,330 2,185,219 13,223,549 South Derbyshire 12,189,000 3,948,000 16,137,000 Sheffield 20,924,000 1,340,000 22,264,000 Calderdale and Kirklees 17,531,845 3,468,058 20,999,903 Bradford and District 12,224,636 1,703,641 13,928,277 Barnsley and Doncaster 19,295,000 3,006,000 22,301,000 Wakefield 7,729,096 976,419 8,705,512 Leeds 10,832,047 3,280,970 14,113,017 Humberside 27,044,568 0 27,044,568 Rotherham 13,171,477 2,520,521 15,691,998 North Yorkshire 15,262,000 3,309,000 18,571,000 Rochdale 7,993,177 1,025,051 9,018,228 South and East Cheshire 14,024,226 1,310,210 15,334,436 Oldham 7,264,885 1,852,299 9,117,184 Stockport and High Peak 12,035,779 755,228 12,791,007 Bolton and Bury 10,858,737 3,754,613 14,613,350 Manchester 44,686,802 2,317,647 47,004,449 Wigan 8,043,574 4,597,510 12,641,084 CEWTEC 16,733,713 2,578,851 19,312,564 Cumbria 17,880,991 2,181,318 20,062,309 LAWTEC 26,370,221 0 26,370,221 Eltec 19,259,316 0 19,259,316 St. Helens 8,968,581 1,264,213 10,232,794 Normidtec 14,027,793 1,221,016 15,248,809 Merseyside 38,832,216 6,630,355 45,462,571 Sunderland City 13,651,950 2,353,957 16,005,907 Northumberland 14,736,728 3,759,216 18,495,944 County Durham 15,655,656 2,887,453 18,543,109 Tees Valley 28,103,000 5,968,000 34,071,000 Tyneside 30,584,000 3,563,000 34,147,000 Total expenditure 1,260,154,194 193,157,856 1,453,312,050 Source:
1998–99 TEC statutory accounts