Oral Answers to Questions

John Bercow Excerpts

Thursday 6th September 2012 Commons Chamber

[Vince Cable]

I have never been shy of criticising bank performance in lending to SMEs, and I am not going to change on that. None the less, I think we should be a little more positive about what is happening. One of the most interesting figures of the last two-and-half years is that the number of private sector jobs has increased by 900,000 in conditions of economic difficulty. Almost all of those jobs are in SMEs, despite the difficulties they face. We are taking action to ensure we get a better flow of funds from the banks, particularly through the new funding for lending arrangements, over and above the guarantee scheme. There are new challenger banks such as Aldermore and Handelsbanken that are specialising in that sector and meeting some of the unmet need.

[Mr Speaker]

Order. I gently remind the House that we have a lot of questions to get through, so some pithiness would be appreciated.

[George Freeman (Mid Norfolk) (Con)]

Does the Secretary of State agree that what the small business sector in this country needs is confidence, not carping from those on the Opposition Benches? The fact that the Government have created over 900,000 jobs since the election suggests they are doing a lot of good. Does he also agree that the World Economic Forum report of this week showing that Britain’s competitiveness has risen from 10th to eighth in the world league, because, it says, of our more efficient labour market reforms, suggests we are doing exactly the right thing?

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

Two and a half years in, this Government still offer no significant support for small, innovative, high-growth businesses, which are exactly the kind that we need to get us out of this double-dip recession made in Downing street. The National Endowment for Science, Technology and the Arts has called on the Government to expand the small business research initiative. Started by Labour, it uses Government procurement to help to turn innovative small businesses into world beaters—we support that call. Is it any wonder that business confidence is low when the Government plan to spend 10 times more on subsidising local weekly bin collections than on innovative small business procurement? Can the Minister tell me whether they will now change—

[Mr Speaker]

Order. I am sorry but the questions and answers are far too long today. A quick sentence and we are done.

[Chi Onwurah]

Will the Government now change course and bring forward proper support for small, innovative businesses?

--- Later in debate ---

[Michael Fallon]

I am grateful to the hon. Lady for what she says, and I am happy to look again at the matter. The Government are working with the Royal Society to see what can be done to encourage more women into engineering, and specific help is available from Government to help with engineering training, particularly for the automotive industry.

[Mr Speaker]

The hon. Member for Sheffield, Heeley (Meg Munn) has provided an object lesson to new Members in how to shoehorn one’s own question into someone else’s, and we are greatly obliged to her.

[Ian Swales (Redcar) (LD)]

17. What recent assessment he has made of the future of the UK bioethanol industry.

--- Later in debate ---

[Vince Cable]

I know how passionately my colleague feels about this. I was with him a few weeks ago in his constituency and there is an acute shortage of affordable housing. The issue he raises of how to get resources into affordable housing was partly met this morning by the substantial increase in guarantees of £10 billion to housing associations, which is direct funding support for social housing. I am sure that he will see a good deal of activity in the wake of this.

[Mr Speaker]

Last but not least, I call Ann McKechin.

[Ann McKechin (Glasgow North) (Lab)]

Further to the Minister of State’s comments about overseas students, can he explain why there has been such a substantial decrease in applications, given the consequent substantial impact that will have on the British economy?