Oral Answers to Questions

Julian Smith Excerpts

Monday 23rd April 2012 Commons Chamber

[Julian Smith (Skipton and Ripon) (Con)]

17. What assessment he has made of the effectiveness of the new enterprise allowance.

[The Minister of State, Department for Work and Pensions (Chris Grayling)]

We have not yet made a formal assessment of the effectiveness of the NEA because it is too early to draw robust conclusions. We will of course carry out a proper impact analysis in due course. Participation in the scheme has so far proved popular; at the end of November last year, when the most recent figures were published, nearly 2,000 new businesses had been created, and many more have been created since then.

[Julian Smith]

I thank the Minister for that answer. Is it not correct that Yorkshire and the Humber has one of the highest take-ups of the scheme anywhere in the country? Has he thought about how we could increase the number of places on the scheme in order to allow people who want to set up a business to start much earlier?

[Chris Grayling]

Yorkshire and the Humber has indeed proved to be a pathfinder for the scheme. I am aware of how popular it is and am now looking at ways in which we could modify it in order to provide a greater focus on those areas where demand is high and see whether it makes sense to allow people to access it earlier.