Oral Answers to Questions

Brandon Lewis Excerpts

Wednesday 7th September 2011 Commons Chamber

[Mr Letwin]

The hon. Gentleman raises a very real problem, which Big Society Capital has recognised. Right from the beginning of the scheme’s design, Sir Ronald Cohen has insisted, and Ministers have agreed, that it should not directly invest in social enterprises but act as a provider of finance to social intermediaries—whether they are lending banks such as Triodos or other more exotic and interesting new social intermediaries—that already have a retail function and can deal, and know how to deal, with the small groups that need to deal with them.

[Brandon Lewis (Great Yarmouth) (Con)]

2. What steps his Department is taking to ensure that small and medium-sized enterprises are aware of opportunities to gain Government contracts.

[Andrew Bridgen (North West Leicestershire) (Con)]

5. What steps his Department is taking to ensure that small and medium-sized enterprises are aware of opportunities to gain Government contracts.

[The Minister of State, Cabinet Office (Mr Oliver Letwin)]

We have established Contracts Finder as a one-stop shop, which enables suppliers to find procurement opportunities, tender documents and contracts online and free of charge. We are also piloting a simple method, which I think is called a dynamic market, for suppliers to register online for public sector contracts below £100,000. That will enable small and medium-sized enterprises to compete at minimal cost alongside large suppliers.

[Brandon Lewis]

Does the Minister agree that, although large companies often find it easy to tender competitively for those contracts, there is a real benefit economically from spending time and effort on encouraging small and medium-sized businesses to bid for such tenders?

[Mr Letwin]

I agree strongly with my hon. Friend. There is a temptation to think that it does not matter who provides a public service contract, big or small, but we all have an enormous interest in encouraging small and medium-sized enterprises to engage in the process, because we all have a huge incentive and reason for believing that innovation in public service can lead to more productivity. It is very often the small, innovative companies that engage in innovation, and therefore we need to ensure that we encourage their participation right the way through the process.