Enterprise Investment Schemes

Lord Tunnicliffe Excerpts

Thursday 3rd February 2022 Lords Chamber

[Baroness Penn (Con)]

The Government are always keen to ensure value for money in those tax benefits or subsidies that they give. As my noble friend noted earlier, there is a sunset on these schemes, and I am sure that, as part of any process around that, we want to ensure that their impact is appropriate and value for money for the taxpayer.

[Lord Tunnicliffe (Lab)]

My Lords, the Government’s Levelling Up White Paper is severely lacking. Both the EIS and the SEIS schemes could be said to highlight entrenched economic disparities across the country. Half of investments go to firm with registered addresses in London. That climbs to two-thirds when including the south-east. Do the Government plan to roll out these schemes into the levelling-up agenda, or will the two approaches continue to be at odds?

[Baroness Penn (Con)]

My Lords, I am not sure that I agree with the premise of the noble Lord’s question. However, he is right to say that one way to judge whether the levelling-up agenda is having the effect that we would want it to have is having greater take-up of these schemes for companies outside, as well as inside, London.