Oral Answers to Questions

Debate between Robert Buckland and Danny Alexander

Tuesday 24th January 2012 Commons Chamber

[Mr Robert Buckland (South Swindon) (Con)]

1. What fiscal steps he plans to take to promote economic growth.

[The Chief Secretary to the Treasury (Danny Alexander)]

The Chancellor is at ECOFIN today.

As the experience of many European countries has demonstrated, loss of control of the public finances is catastrophic for growth. That was why, in the autumn statement, we set out plans to maintain the credibility of our fiscal stance while innovatively using the money that we do have to support home buyers, small firms and infrastructure and to tackle youth unemployment.

[Mr Buckland]

I was pleased to see in the autumn statement the proposed introduction of the new seed enterprise investment scheme, which will encourage investment in small and high-risk early-growth businesses. What other measures does my right hon. Friend propose to take to encourage equity investment and support for growing businesses?

[Danny Alexander]

As my hon. Friend knows, at the Budget last year we announced reforms to the enterprise investment scheme and the venture capital trusts scheme, which are subject to state aid approval. The Government are committed to finding innovative ways to invest in new firms, such as the seed enterprise investment scheme, and we will consider further ideas in the future.