Oral Answers to Questions

Andrew Gwynne Excerpts

Thursday 15th March 2012 Commons Chamber

[Vince Cable]

The Chancellor and I discuss this problem constantly because it is a real issue for SMEs. As a result of the Merlin agreement last year, there was a significant increase in lending to small-scale enterprises beyond what they would otherwise have had. I recognise that it is a continuing issue and I am sure the Chancellor will have some ideas in the Budget about how to extend it further.

[Andrew Gwynne (Denton and Reddish) (Lab)]

4. What assessment he has made of the level of applications to English universities for courses commencing in September 2012.

[The Minister for Universities and Science (Mr David Willetts)]

With permission, Mr Speaker, I shall answer this question with Question 17.

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[Andrew Gwynne]

I am grateful to the Minister for that reply, but what measures are the Government taking to ensure that the supply of places in 2013 and beyond matches the demand for places at English universities given the drop in applications for the 2012 entry and the confusion over student number controls for 2013 and beyond?

[Mr Willetts]

We will continue to offer a large number of places at university and they will continue to be very well funded. Indeed, the latest figures from the Higher Education Funding Council for England show that the funding for university teaching will go up from £8.9 billion this year to £9.1 billion next year and £9.6 billion the year after. That money is coming through in fees and loans—not fees that students have to pay up front—to ensure that we have strong, effective universities that can continue to educate many students.

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[Vince Cable]

Yes, that is absolutely the direction in which the Government are going. Following the Prime Minister’s announcement that we intend to proceed on binding votes, I announced a set of detailed proposals that will give shareholders a significantly enhanced role in the setting of pay and which will, I hope, have the moderating effect that the hon. Gentleman described.

[Andrew Gwynne (Denton and Reddish) (Lab)]

T6. I am still receiving numerous complaints from small businesses across Denton and Reddish facing problems accessing finance for their viable business propositions. Given that the economic forecasts are continually being revised downward and the quarter 4 gross domestic product figures are showing a contraction, will the Secretary of State now act and get the banks lending to viable small businesses in my constituency?

[Mr Prisk]

Although two thirds of businesses seeking a loan get it, I fully understand, having run a business myself, that for those who do not it is immensely frustrating. That is why we have extended the enterprise finance guarantee and saw a 13% improvement in bank lending under Merlin. But is there more to do? Yes. The Chancellor will deal with that next week.