HC Deb 08 January 2004 vol 416 c424W
Harry Cohen

To ask the Chancellor of the Exchequer whether it is his policy that the additional sum for research and development announced in his pre-Budget report will be filtered down to local colleges which have good science study courses; whether he expects Leyton Sixth Form College to gain from the additional funds; and if he will make a statement. [146358]

John Healey

The additional spending on research and development announced in the pre-Budget report 2003 arose from improvements to the R&D tax credits schemes for both small and large companies.

The improvements included a new draft definition of R&D and an extension of qualifying costs. These changes will give companies greater clarity and certainty, as well as broadening the scope of expenses on which the credit can be claimed.

The pre-Budget report also set out the main findings of the Lambert Review into the links between universities and businesses in the UK and the significant benefits to be gained from greater collaboration. Key recommendations included a new funding stream for business-relevant research and the encouragement of new forms of networks between business people and academics. The Government will make a full response to the recommendations by summer 2004.