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13 Mar 2006 : Column 1995W—continued
Power Generators
Mr. Clifton-Brown: To ask the Secretary of State for Trade and Industry what the Government's policy is on promoting demand side management by power generators. [57362]
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Malcolm Wicks: This winter has seen substantial levels of demand reduction from gas-fired power generators as a normal commercial response to increases in the price of gas, suggesting that there is no need for Government to intervene to promote demand side response from this sector.
Research Station Closures
Greg Clark: To ask the Secretary of State for Trade and Industry if he will list the statutory bodies that have made submissions to the consultation on the proposed closure of four research stations run by the Centre for Ecology and Hydrology. [56741]
Barry Gardiner [holding answer 9 March 2006]: The Centre for Ecology and Hydrology (CEH) is wholly owned by the Natural Environment Research Council (NERC). In December 2005, NERC announced a consultation on its proposals on how CEH can contribute to UK Environmental science on a sustainable basis.
I have asked the chief executive of NERC to write to the hon. Member concerning his request.
Greg Clark: To ask the Secretary of State for Trade and Industry what recent developments there have been in the proposed closure of research stations run by the Centre for Ecology and Hydrology. [57081]
Barry Gardiner [holding answer 9 March 2006]: The Centre for Ecology and Hydrology (CEH) is wholly owned by the Natural Environment Research Council (NERC). In December 2005, NERC announced a consultation on its proposals on how CEH can contribute to UK Environmental science on a sustainable basis. NERC Council met on 8 March 2006 to consider an assessment of the input to this consultation from stakeholders. NERC expects to announce Council's decision shortly.
Small Businesses
Mrs. Curtis-Thomas: To ask the Secretary of State for Trade and Industry what percentage of small businesses in the United Kingdom failed within their first year of operation in 2005. [56989]
Alun Michael: The Small Business Service uses VAT registration and de-registration data to estimate the failure rate of businesses. Businesses can be tracked from the time that they first register for VAT until the time they de-register. VAT data covers businesses of all sizes, although the majority of businesses which register for the first time are small.
8 per cent. of UK businesses registering for VAT in 2003 had de-registered within one year. These data are available at www.sbs.gov.uk/survival. Figures for 2004 will be available in winter 2006–07.
VAT registration and de-registration data do not capture all business activity. Businesses are unlikely to be registered if they fall below the compulsory VAT threshold. Similarly, businesses that de-register will not necessarily have failed. Only 1.8 million out of 4.3 million enterprises were registered for VAT at the start of 2004. Failure rates based on VAT data will therefore only provide an indication of true failure rates of small businesses.
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South West Regional Development Agency
Mr. Liddell-Grainger: To ask the Secretary of State for Trade and Industry if he will list the UK companies in each county in the South West Region which have received assistance from the South West Regional Development Agency since it was set up. [55183]
Alun Michael: I am told by the South West of England Regional Development Agency (SWRDA) that it delivers assistance to business in a variety of ways, some directly but a great deal indirectly through intermediary organisations, such as Marine South West, South West Food and Drink, and South West Screen. For the purposes of this reply I am including information where the RDA has provided direct financial assistance to companies.
The Agency's ability to assist individual companies is limited, by EU State Aid Regulations. There are a number of State Aid Exemptions which allow financial assistance in particular circumstances, so the Agency's use of these schemes and the companies assisted are included at Annex A.
The Agency has administered two DTI grants—Enterprise Grant Scheme, Regional Selective Assistance and currently administers a further two—Selective Finance for Investment in England, and Research and Development Grant scheme. Details of companies assisted through these grants are at Annex B.
From this establishment, RDAs administered a number of programmes from successor organisations. The Redundant Building Grant provided financial assistance to a large number of private enterprises within de minimus State Aid regulations to assist with the refurbishment of redundant agricultural buildings. The Agency also administered a large number of small scale grants to companies during the foot and mouth crisis. Due to the large number of grants awarded, it is not possible to provide individual information on the companies assisted.
Companies assisted through the Partnership Investment Programme (former English Partnerships State Aid exempt scheme) in Cornwall
Companies assisted though the State Aid exempt Gap funding scheme in Cornwall
Other State Aid exempt schemes
Crest Nicholson, a developer on the Gloucester Docks project received grant assistance under an EU approved Heritage gap funding scheme for the refurbishment of the derelict Grade 2 listed Biddle and Shipton warehouse
(54) These are companies that have received Grant for Research and Development and some were selected for support before SWRDA took over management of the scheme from the Small Business Service (DTI)
Mr. Liddell-Grainger: To ask the Secretary of State for Trade and Industry if he will list the companies from overseas which have been brought to the South West by the regional development agency since it was set up; and what the location is in each case. [55185]
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Alun Michael:
I am advised by the South West of England regional development agency that the following table provides details of overseas companies
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and their locations in the South West that have been assisted by the agency since 1999.
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| Total successes | |
|---|---|
| Number of investments | 157 |
| Jobs created | 10,637 |
| Jobs safeguarded | 6,349 |
Notes:
1. The investments listed are ones where SWRDA was involved.
2. Numbers were correct at the time the investment was made.
3. Jobs created is a predictive figure ie at the time of the investment the amount of jobs the company believed it would create.
4. Some companies appear more than once as SWRDA has subsequently been involved in retaining or expanding the investing company.
Mr. Liddell-Grainger: To ask the Secretary of State for Trade and Industry if he will list the consultants employed by the South West Regional Development Agency in each of the last five years; and how much was paid to each. [55269]
Alun Michael: I am advised by the South West of England Regional Development Agency that it is not possible to provide this information as the Agency does not have a single accounting code within its budgets to which consultancy costs are charged. Consultancy costs are charged and coded against individual projects and Agency activities.
Mr. Liddell-Grainger: To ask the Secretary of State for Trade and Industry how many complaints have been received from companies by the South West Regional Development Agency in the last five years; and what action was taken in each case. [55270]
Alun Michael:
I am told by the South West of England Regional Development Agency that it has handled two formal complaints from companies, (steps 2–4 as outlined in the agency's complaints procedure). One
13 Mar 2006 : Column 2004W
case is currently being considered by the Parliamentary Ombudsman. The other case, was investigated by an officer at the agency, who provided answers and information, as far as it was available, to the company.
Mr. Liddell-Grainger: To ask the Secretary of State for Trade and Industry how many flagship sites the South West Regional Development Agency controls; and what estimate he has made of the capital cost of each. [55285]
Alun Michael: I am informed by the South West of England Regional Development Agency that it owns a number of major sites in the region including:
Enterprise Grant Scheme began on 1 January 2000.as a simplified discretionary scheme for Small and Medium Enterprises (SME's) in the Assisted Areas (Tier 1 and Tier 2) and in specified non-Assisted Areas (Tier 3). Those three tiers were referred to collectively as Enterprise Grant Areas.
The EGS grant closed for new applications on 31 March 2004 and was replaced by the Selective Finance for Investment in England (SFIE) grant on 1 April 2004. Responsibility of the EGS grant was transferred from Government Office of the South West to the South West RDA on 1 April 2004.
Regional Selective Assistance (Rsa):
RSA began in July 2000. A discretionary grant which providing assistance towards projects with fixed capital expenditure over £500,000 and created and safeguarded employment in the Assisted Areas (Tier 1 and Tier 2).
The RSA grant closed for new applications on 31 March 2004 and was replaced by the Selective Finance for Investment in England (SFIE) grant on 1 April 2004. Responsibility of the RSA grant was transferred from Government Office of the South West to the South West RDA on 1 April 2002.
Selective Finance For Investment In England (Sfie):
SFIE began on 1 April 2004. Introduced to replace Regional Selective Assistance (RSA) and Enterprise Grant Scheme (EGS) in the Assisted Areas and offers a more limited form of assistance in Tier 3 areas, similar to that available under EGS. Under SFIE there is a minimum threshold for grant applications of £10,000. The grant maximum in Tier 3 areas is £100,000. Applications of less than £100,000, in both the Assisted Areas and Tier 3, will not require job creation or safeguarding to be eligible for support.
The list following is for all applications (82 in total) by county and company name where claims have been paid by the South West RDA. All the companies listed are UK based, with some being owned by foreign companies.
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Mr. Liddell-Grainger: To ask the Secretary of State for Trade and Industry what the cost of capital assistance provided by the South West Regional Development Agency has been in the last five years, broken down by county. [55316]
Alun Michael: I am told by the South West of England Regional Development Agency that it does not hold information on capital assistance provided by county. As a strategic across county, or unitary, boundaries. The Agency's investment figures in support of projects and activities across the south west for the last five years are as follows:
| £000 | |
|---|---|
| 2004–05 | 77,624 |
| 2003–04 | 72,106 |
| 2002–03 | 78,150 |
| 2001–02 | 64,070 |
| 2000–01 | 62,652 |
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Mr. Liddell-Grainger: To ask the Secretary of State for Trade and Industry how many new jobs have been created by the work of the South West Regional Development Agency in the last five years, broken down by county. [55319]
Alun Michael: I am told by the South West of England Regional Development Agency that it does not hold information on jobs created by county. As a strategic organisation many of the activities in which it is involved operate at regional level, or across county, or unitary, boundaries. The Agency reports on a range of outputs that are directly attributable to its investment in support of projects and activities across the region, one of which is jobs created or safeguarded. The figures for jobs created/safeguarded for the last five years are as follows:
| Number of jobs created/safeguarded | |
|---|---|
| 2004–05 | 6,060 |
| 2003–04 | 6,024 |
| 2002–03 | 6,508 |
| 2001–02 | (55)10,415 |
| 2000–01 | (55)10,876 |
(55) In 2002 the Agency changed its method of collecting output information from approval stage to using monitoring returns
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