EU Report: Effectiveness of EU Research and Innovation Proposals

Lord Maclennan of Rogart Excerpts

Thursday 21st November 2013 Lords Chamber

[Lord Maclennan of Rogart (LD)]

My Lords, I did not serve on the sub-committee which produced the valuable report but I served on the Select Committee which approved it. It is one of the most telling and focused reports produced in the past year. The Government’s reply is also remarkably satisfactory, although some issues need to be expanded on and explained a little more. Although the European Commission has not directly responded to the report as yet—I understand that part of the reason for that may have been the uncertainty about the multiannual financial agreement—it has now issued a press release, which seems to cover in general terms most of the points made in the recommendations of the report. At least, the press release addresses many of the issues that have been highlighted in the report.

First, the press release, which was issued on 19 November following the European Parliament’s decision on the multiannual financial framework, indicated that,

“EU-funded research and innovation will do more to improve Europeans’ quality of life and enhance the EU’s global competitiveness”.

It also confirmed that, as regards the money, which I believe still is subject to the imprint of the Council, the Parliament has agreed that some €79 billion should be devoted to this, as the noble Lord, Lord Brooke, has indicated. That is an indication that the Commission has been listening to the committee which produced this report. It is also indicative of the strength of Britain in influencing the direction of European policy.

Central to the report, the second point made by the Commission in its press release is:

“Horizon 2020 is … a centre-piece of the EU’s drive to create new growth and jobs in Europe. Researchers and businesses across Europe can count on strongly increased and simplified EU support”.

That is a very important commitment. We have seen over recent years that, although higher education in the United Kingdom is obtaining support from the innovation and research programme to the extent of 61%, private commercial organisations have received only 24% of that assistance, which is not as satisfactory as we would wish.

The third point that is made in the Commission’s statement is that it will seek to strengthen industrial leadership and innovation, including through investment in key technologies and greater access to capital and support for SMEs. It goes on to indicate by way of example some of the most pressing requirements, including the need to address climate change, develop sustainable transport mobility and make renewable energy affordable. Those are sensible priorities. I declare an interest in that I am chairman of a company that promotes marine energy. It is certainly my hope that that form of alternative energy will be recognised as one that has not only great possibilities for this country but more widely.

The final point that is made on the industrial side of research and innovation is also important in the Commission’s statement. It says that it will help to bridge the gap between research and the market by, for example, helping innovative enterprises to develop their technological breakthroughs into viable products with real commercial potential. That has already been trailed to some extent by the connection between Sainsbury’s and the European innovation project in respect of solar power. Pure research is not the entire target that should be focused on under Horizon 2020. We should focus on how it can be deployed to commercial and economic advantage.

I recognise that there are areas of research in which it would be highly appropriate for pure research to be done. To my mind, that is a necessary part of the message that we are sending out. The need to address health issues is clearly one that we ought to focus on. I cite, for example, motor neurone disease, which as yet has no cure and which widely concerns the medical profession—and not only in our own country. We could, for example, hope that the European Union will watch with great interest the convention that is taking place in Milan in December for motor neurone neurologists from across the world. I believe that 700 will be there. They might, by introducing themselves to find some lines of inquiry worth supporting.

That raises another issue, which is whether the money should go only to the European Union. A number of other countries have participated in programmes of research and innovation, and that is highly sensible. I recognise the competitiveness element, which is important in focusing and directing research energy, but other countries could come in on collective research projects and, by so doing, reduce the overall costs.

We would be happy to hear from the Minister answers to some of the questions asked by the chairman of the Sub-Committee in her letter to the Government following their helpful reply. For example, there is an issue about how the NCPs can be operated more effectively. There is another issue about Brussels representation. That is mentioned, but it is not stated how that will be brought about effectively.

Finally, I very much agree with what the noble Lord, Lord Brooke, said about the need to represent SMEs’ interests and possibilities in deciding what projects should be backed. That is a matter for this country to concern itself with: how to get across with clarity and authority the concerns and demands of small enterprises, which are key to our growth.