Oral Answers to Questions

Barry Sheerman Excerpts

Wednesday 4th September 2013 Commons Chamber

[Mrs Mary Glindon (North Tyneside) (Lab)]

6. What steps he has taken to address barriers to small and medium-sized enterprises participating in Government procurement.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

12. What steps he is taking to open up central Government Departments to partnerships with small and medium-sized enterprises.

[The Parliamentary Secretary, Cabinet Office (Miss Chloe Smith)]

It is this Government’s policy to dismantle the barriers facing small and medium-sized companies to ensure that they can compete for contracts on a level playing field and grow. I refer the House to the letter I sent last month to all hon. Members, in which I set out some of the progress we have made and the further steps we will be taking to ensure that Departments continue to increase their spend with small companies.

--- Later in debate ---

[Miss Smith]

I am glad that the hon. Lady has raised that point and she will know that we have asked my hon. Friend the Member for Warwick and Leamington (Chris White) to act as an ambassador on this matter; it is very important. The message that we need to get through to contractors, who are of course the ones making such arrangements, is that they must have regard to the taxpayer and value for money at all times, but that other such issues might also be used to benefit those for whom they are contracting.

[Mr Sheerman]

Is the Minister not aware that the truth is that the Government are becoming more and more dependent on big companies—private sector companies such as G4S, Serco and Capita? Is she aware that a recent Fujitsu-sponsored poll of small and medium-sized enterprises showed that 26% find it more difficult to get contracts with the Government and that 6% think that it is easier?

[Miss Smith]

I welcome the hon. Gentleman’s focus on this matter. He will welcome our review on some of the companies he has named, but it is most important to say that the Government are on track to deliver our aspiration of awarding 25% of central Government business to SMEs by 2015. We look for that directly and through the supply chain, and that is what helps us to procure for growth in this country.