§ Mr. Stephen O'BrienTo ask the Secretary of State for Trade and Industry what assessment she has made of the effectiveness of business link organisations; and what plans she has to change these schemes. [148172]
§ Nigel GriffithsOverall, Business Link Operators have been successfully delivering business support within their local areas to increasing numbers of small businesses, while at the same time seeing their levels of customer satisfaction continue to rise.
Last year Business Link Operators helped over 300,000 firms and individuals, an increase from 150,000 in 2002, and exceeded their key performance indicators. Market penetration increased from 14 per cent. to 17 per cent. in 2001–02, customer satisfaction with BLO services increased to 84 per cent. from 81 per cent. the previous year and brand awareness increased 9 per cent. to 74 per cent. Results for the current year are also showing a further increase in performance levels. By the end of quarter 2 2003–04, 88,000 more businesses had been assisted than the same time last year; the business penetration rate of 18.5 per cent. was already exceeding last year's performance; and the provisional average customer satisfaction rate of 85.4 per cent. shows a 1 per cent. increase on the last six months and a 3.2 per cent. increase on the same period last year.
The Small Business Service is now engaged in a review of the Business Link business and brand with the aim of building on the brand as the recognised gateway through which small businesses can access appropriate sources of help or support and so will have an impact on the way BLOs operate. The review should conclude during 2004–05 and the principal outcomes be implemented by April 2005.
§ Mr. Stephen O'BrienTo ask the Secretary of State for Trade and Industry what effect Business Link has had on(a) the overall productivity of UK businesses, (b) reducing disparities in regional productivity, (c) the 1169W overall profitability of UK businesses, (d) UK business investment and (e) levels of private sector employment in the UK. [148186]
§ Nigel GriffithsThe Small Business Service has introduced from this year a Gross Value Added measure as part of its Performance Management Framework for Business Link. This enables operators to quantify the impact they have had on businesses with which they have formed a more intensive relationship, in terms of wealth creation and productivity improvement.
The most recent evaluation of Business Link did not explore the impact on productivity. However, it did conclude that Business Link provided good value for money in terms of the additional jobs, turnover, profits, assets and exports created at the national, regional and local level. The report on the evaluation, which was carried out by independent consultants Public and Corporate Economic Consultants (PACEC), is available on the DTI website (www.dti.gov.uk/about/evaluation).
§ Mr. Stephen O'BrienTo ask the Secretary of State for Trade and Industry what procedures are in place to ensure the accountability of business link organisations. [148195]
§ Nigel GriffithsThe procedures in place are as follows:
Each year the Small Business Service (SBS) agrees an annual Delivery Plan (DP) with each Business Link Operator (BLO). The Plans are in a common format and include a set of Key Performance Indicators against which targets are agreed between the respective BLO and the SBS.
Each BLO's performance against these targets is monitored by SBS Regional Teams, or by the Regional Development Agency in the East Midlands and North West. BLOs are subject to a Quarterly Performance Review that assesses their performance against the set of Key Performance Indicators (KPIs). Three of the KPIs, Customer Satisfaction, Market Penetration and Number of Intensive Assisted Users, are subject to contractually binding Minimum Performance Levels. BLOs provide performance data on a quarterly basis as part of the SBS Management Information Requirement.
BLOs provide detailed Financial Information at the end of each quarter, which is monitored by the SBS. On an annual basis BLOs are subject to an independent audit of their finances and management information systems by an auditor appointed by the SBS to ensure its funding has been spent on the purposes for which it was given.
All BLOs are subject to UK company law.
§ Mr. Stephen O'BrienTo ask the Secretary of State for Trade and Industry how many staff have been employed by each business link organisation in each year since their formation; and if she will break the figures down by salary band. [148196]
§ Nigel GriffithsBusiness Link Operators are autonomous independent companies and the Small Business Service does not collect information about their staffing numbers or rates of pay.
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§ Mr. Stephen O'BrienTo ask the Secretary of State for Trade and Industry what criteria are used to measure the(a) success and (b) effectiveness of business link organisations. [148198]
§ Nigel GriffithsThe Small Business Service (SBS) has developed a core set of key performance indicators (KPIs) to measure the success and effectiveness of Business Link Operators (BLOs). These indicators are contained in a Performance Management Framework and reflect the performance, value and contribution to the economy made by BLOs.
The indicators are:
- awareness of Business Link (prompted and unprompted);
- understanding of Business Link services;
- use of Business Link branded services (by both businesses and individuals);
- financial efficiency (of BLOs);
- customer satisfaction;
- intensive assisted users of BL branded services;
- perceived business benefit; and
- changes in Gross Value Added (GVA) of BL customers.
SBS negotiates a delivery plan each year with each BLO individually. The plan includes targets for each KPI that reflect the needs and constitution of each specific BLO area. SBS then subsequently monitors each BLO's performance against their respective targets on a quarterly basis with view to taking appropriate action to address specific or general shortcomings.
§ Mr. HoyleTo ask the Secretary of State for Trade and Industry how many firms in(a) Lancashire and (b) Chorley have used Business Link in each of the last three years. [148701]
§ Nigel GriffithsThe answer to the question is shown in the following table:
2001–02 2002–03 April-September 2003 Business Link Operator usage-business customers, in-year cumulative East Lancashire 2,973 3,187 2,403 North and west Lancashire 3,156 6,435 5,996 Lancashire total 6,129 9,622 8,399 Business Link Operator usage-pre-starts, quarterly trend East Lancashire 1,825 2,534 1,642 North and west Lancashire 750 2,865 1,390 Lancashire total 2,575 5,399 3,032