HC Deb 05 June 2000 vol 351 c138W
Mrs. Curtis-Thomas

To ask the Secretary of State for Education and Employment what additional help has been provided to small and medium-sized enterprises since May 1997 to help them tackle skills shortages. [123460]

Mr. Wicks

[holding answer 23 May 2000]: Much of the support provided to help small and medium-sized enterprises tackle skills shortages is distributed through Training and Enterprise Councils. In particular, the Department provides the Councils with a flexible local competitiveness budget to help support local firms. In the last three financial years this budget has totalled £180 million.

In autumn this year, I expect the Government's plans for a university for industry to come to fruition, when learndirect becomes fully operational. Small and medium-sized enterprises are a priority for learndirect, and it will introduce new and more flexible ways for small firms to meet their skills needs, through the internet and a range of high quality on-line learning materials. Last year the Government made some £50 million available to develop this important new initiative and have just announced funding of £84 million for this year.

The Department also funds the Small Firms Enterprise Development Initiative (SFEDI) to share good business practice and to help small firms survive and thrive. It provides support to small businesses from sole traders to companies with up to 20 employees.

The Secretary of State for Trade and Industry is in the process of establishing a new Small Business Service to provide comprehensive support to small and medium-sized enterprises, including support for the development of their workforces. The full local network is expected to be in place by April 2001.

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