Select committee: Business, Innovation, Science and Trade Committee
Conclusion 36
First Report - Post-pandemic economic growth: Industrial policy in the UK
Published 28 Jun 2021
Paragraph 149
Addressed to Department for Business and Trade
Business, Innovation, Science and Trade Committee Post-pandemic economic growth: Industrial Strategy All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
On this basis, we share the concerns of the Public Accounts Committee (PAC), which called into question the extent to which the Industrial Strategy Challenge Fund (ISCF) supports research-orientated small businesses. Given the scale of the funding attached to the ISCF, the fund should represent a realistic source of alternative funding for small businesses seeking to innovate. However, if the ISCF funding becomes ever more concentrated in certain parts of England, and the flow of support trends towards larger businesses, the ISCF will not be regarded as a viable alternative to traditional sources of growth finance.
From: Business, Innovation, Science and Trade Committee, First Report - Post-pandemic economic growth: Industrial policy in the UK (HC 385), paragraph 149, 28 June 2021
Government response
The government responded to the whole report on 24 September 2021 (deadline 28 August 2021).
Summary written by Accountability Index from the government's response. It is not the government's own words.The government welcomes the report and sets out its approach through the Plan for Growth, agreeing on some points, stating that it does not believe a review of each Sector Deal is "the correct way to approach this issue", and declining to publish NERT dates and minutes.
- The government "agrees with the Committee that its policies and strategies should support the whole economy and deliver for all parts of the UK", and will work with the Devolved Administrations and regional and local leaders "where appropriate".
- It does not believe reviewing each Sector Deal for the impact of Covid-19 is "the correct way to approach this issue"; instead it "will continue to engage with sectors".
- On publishing dates and minutes of the National Economy and Recovery Taskforce, it "has noted" the interest, citing a "long-established precedent" that such information is not shared publicly.
- It will publish a Levelling Up White Paper "later this year", which will include plans for local leadership, "including considering the future of LEPs".