Businesses: Regional Growth Fund

Lord Young of Norwood Green Excerpts

Wednesday 8th June 2011 Lords Chamber

[Baroness Wilcox]

The evidence is that we have been overwhelmed by the number of bids that have come in. For the second round that we are in now, there is an enormous number of bids, which is very heartening. It is competitive, and people are doing awfully well with it. I hope that I can speak later to the noble Lord and reassure him on this with the evidence that we have.

[Lord Young of Norwood Green]

My Lords, given the record levels of youth unemployment, is the Minister aware of the newly released data from the Federation of Small Businesses showing that only 8 per cent of small businesses have taken on an apprentice in the past year? This is concerning, given that in 2009 more than half of the apprenticeships took place in businesses with fewer than 50 employees. Furthermore, the federation believes that allocated funding to apprenticeships must be used to benefit micro-businesses—that is, businesses that are likely to take on their first apprentice with the potential to grow. It believes that the Government should better promote group training agencies or apprentice training agencies.

[Baroness Wilcox]

My Lords, I expected this question to come from the noble Lord, Lord Sugar, whom I see is in the House today. My answer to this question is that this is a challenge fund and projects can cover whatever the bidders want. The aim of the fund is to create jobs and these could include apprenticeships—a key part of this Government’s growth agenda. We look forward to bids coming forward for apprenticeship growth.