Oral Answers to Questions

Lord Willetts Excerpts

Thursday 26th March 2015 Commons Chamber

[Greg Clark]

No. In fact, the success of the Government’s policy reforms are reflected in the hon. Lady’s own constituency. In October 2009, 20.8% of young people in her constituency went to university, whereas this October it was 30.2%—nearly a 50% increase. What is extraordinary is that a day before the general election campaign begins, the Labour party has not worked out how to pay for its university policies. Labour’s chaos would plunge the successful policy that we have introduced into chaos—a very good reason not to have a Labour Government.

[Mr David Willetts (Havant) (Con)]

Does my right hon. Friend agree that our higher education reforms have delivered more students, especially from disadvantaged backgrounds, more funding for teaching in universities than ever before and have lowered the monthly repayments by graduates, which is the key sum that mortgage lenders take into account when people are trying to get started on the housing ladder?

[Greg Clark]

My right hon. Friend is absolutely right. I pay tribute, as the whole House should, to his work in achieving this transformation. This is a proud moment for him to leave the House, in a year in which more young people have been to university in this country than ever before as a result of the far-sighted policies that he championed in the House.

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[Vince Cable]

That process is already under way. I have met representatives of RBS to discuss it. They have acknowledged that there are failings in the way in which they operated the scheme, and they have given assurances that anyone who was a recipient of the loan and who has been disadvantaged by the way RBS handled it will receive recompense.

[Mr David Willetts (Havant) (Con)]

May I warmly congratulate the Secretary of State on his very substantial record during his five years in office, and invite him particularly to welcome the agreement across all three parties on the importance of Government support not just for science and research, but for innovation and the eight great technologies?

[Vince Cable]

I thank the right hon. Gentleman for his kind comments. We worked extremely well together and I thank him for his contribution to that. One of the legacies was the creation of the catapult network. We built on the initial foundations of the Advanced Manufacturing Research Centre. It has now become internationally recognised as an excellent way to promote innovation.

Oral Answers to Questions

Lord Willetts Excerpts

Thursday 12th February 2015 Commons Chamber

[Greg Clark]

Tempting though that invitation is, I am not sure I will be hearing the hon. Gentleman speak, although I enjoy his contributions in this House. Manufacturing has been enjoying a stunning revival during the last few years, and it is supported by the investments made through the local growth fund and the regional growth fund. Some £1.1 billion of funding has been put into manufacturing. Is there further to go? Of course, but this Government’s strategy is clear: by reviving the sectors in which we have strengths that are famous around the world, we can build the prosperity that will provide the security for our country for many years to come.

[Mr David Willetts (Havant) (Con)]

Will the Minister confirm that when we talk about “tech” we mean not just the software, but the hardware as well, and that there are enormous prospects for British manufacturing, especially supported through the RGF, to be world leaders in the high-tech industries of the future?

[Greg Clark]

My right hon. Friend is absolutely right. He and I had the privilege to be at the Royal Society last night, where awards were presented for some of the key figures who are translating some of our most brilliant ideas into practice, especially in advanced manufacturing. Across all the sectors there is confidence that the prospects for this country are better than ever. That is a tribute in large part to the work that my right hon. Friend did in office.

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[Matthew Hancock]

We now put all procurement online. Also, from this month, a new rule is coming into place: not only must all procurement from Government be paid within 30 days, but the whole supply chain must be paid within 30 days. It is a big step forward to help small businesses engage in Government procurement.

[Mr David Willetts (Havant) (Con)]

Will the Minister confirm that one of the best ways of getting funding into innovative life sciences companies is for them to get contracts from the NHS earlier? He just referred to his very important early access review. What are the ambitions for that, and the timetable?

[George Freeman]

My right hon. Friend and predecessor makes an important point. Since we launched the life science strategy at the start of this Parliament, as set out and led by my right hon. Friend, this country has attracted over £3.5 billion of inward investment into the sector and created more than 11,000 jobs, so something is going very right. He makes a key point: the next step is to ensure that our NHS is driving quicker access. We shall shortly be announcing the chair of the review, and we have already started to gather evidence. My right hon. Friend will have noticed on his recent trip to America the support and the interest that it is gaining overseas for driving our sector forward.

Oral Answers to Questions

Lord Willetts Excerpts

Thursday 8th January 2015 Commons Chamber

[Greg Clark]

As the hon. Lady knows, probably the most respected expert in the world on this subject, the OECD, has been clear that “the UK higher education system is excellent for individuals and for the Government” and offers the “most sustainable” system in the world. The system is in robust good health and works well. It offers good value for the taxpayer and students.

[Mr David Willetts (Havant) (Con)]

Will the universities Minister confirm that overseas students will continue to receive a warm welcome in this country, and will he assure me that we will not expect them to leave the country after they graduate and apply for a post-study work visa from abroad?

[Greg Clark]

That is not the Government’s policy and I do not agree with the suggestion. I take great pride in the fact that the brightest and best people in the world want to come and study at our excellent universities. It is great news that we heard just before Christmas that we have record numbers of overseas students applying for admission to university in this country next year. When they come here, they will receive the most cordial of welcomes.

Oral Answers to Questions

Lord Willetts Excerpts

Thursday 20th November 2014 Commons Chamber

[Greg Clark]

I do not agree with that report. Our system of student finance is in rude health. The OECD reviewed higher education systems throughout the world, and concluded that the

“UK is…one of the few”

countries

“that has figured out a sustainable approach to higher education finance”

and that

“that investment…pays off for individuals and tax payers.”

This year more students are going to university than ever before, and that would not have been possible without the reforms that we introduced.

[Mr David Willetts (Havant) (Con)]

Does my hon. Friend agree that the resource accounting and budgeting charge is not a fixed cost, a cost that is being incurred today or public expenditure, but, essentially, a highly speculative forecast of what income tax receipts might be up to 2050? He is right: we have a system that is in rude health, with more people applying to universities, more funds for universities, and more applications from low-income families.

[Greg Clark]

My right hon. Friend is absolutely right. We take a very cautious view of the RAB charge. The OECD is amazed that we take such a conservative view. For example, we take no account of the fiscal benefit that results from people paying more taxes because they earn more as a result of having a degree. The average salary of a non-graduate is £21,000, but the average salary of a graduate is £33,000. The graduate’s salary means extra tax for the Treasury, but that is not taken into account. We are expanding student numbers, and we have a record number of students with the most disadvantaged backgrounds. It is a tribute to the work done by my right hon. Friend that we are able to say that.

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[Vince Cable]

I can give the hon. Gentleman exactly that assurance. We should listen to what he has to say. Of course, we are concerned that the British steel industry should succeed.

[Mr David Willetts (Havant) (Con)]

With the extraordinary technical achievement of the Rosetta landing last week and the announcement of crowdfunding for Lunar Mission One this week, will the Minister responsible for science take this opportunity to congratulate the British space community on its scientific excellence and its enterprise?

[Greg Clark]

I will indeed do that. I had the great pleasure of visiting Stevenage earlier this week to congratulate in person many of the scientists and engineers who worked on that brilliantly successful Rosetta mission. They demonstrated the Mars Rover, which is going to be the next source of excitement.

Oral Answers to Questions

Lord Willetts Excerpts

Thursday 26th June 2014 Commons Chamber

[Mr Dominic Raab (Esher and Walton) (Con)]

4. What steps he is taking to strengthen vocational training.

[The Minister for Universities and Science (Mr David Willetts)]

We are creating a system of vocational training to enable everyone to achieve their potential. We are on track to deliver 2 million apprenticeship starts. We have introduced traineeships for young people, we are supporting national colleges for key sectors and technologies and of course more than half of university students are doing a course that leads directly to a profession.

[Mr Dominic Raab]

I welcome the huge progress that has been made. What progress has been made in implementing the Richards review recommendation to give employers greater purchasing power over apprentices’ training to drive up standards?

[Mr Willetts]

I met Doug Richards in a very upbeat mood only half an hour ago, and I can assure my hon. Friend that we agree with Doug Richards that employers should purchase apprenticeship training. We want providers to respond to businesses, not to Government. We have consulted widely on how to make that happen. We will publish details of our preferred payment mechanism and next steps in the autumn.

[Mr Speaker]

The hon. Gentleman and the Minister appear to have a symbiotic relationship, and we are grateful for that, I am sure.

[Mr Adrian Bailey (West Bromwich West) (Lab/Co-op)]

Despite all the praiseworthy emphasis that the Government have placed on increasing the number of apprentices, the number of apprenticeship starts in the under-19 age group is dropping. The BIS Committee recommended that the Government should use public procurement to increase those numbers, as a lot of local authorities do. Why have the Government not done it?

[Mr Willetts]

The Government believe in promoting apprenticeships across the public sector. Figures published today show an increase in the number of apprenticeships in that crucial age group.

[Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)]

Apprenticeships are essential to help deliver a growing economy, but nearly 400 employers in the north-west have replied to the future of apprenticeships in England funding reform technical consultation, and they have said that they will no longer recruit apprentices under the reforms that the Government propose. Will the Minister please say what he intends to do specifically for SMEs, which are concerned about the proposals?

[Mr Willetts]

We have had a range of reactions to our consultation, and the national bodies that represent businesses strongly support the proposals that we and in particular my excellent colleague the Minister for Skills and Enterprise are putting forward.

[Mrs Emma Lewell-Buck (South Shields) (Lab)]

As a dyspraxic, I remember how much extra effort I needed to put in to succeed at university. Students with disabilities and learning difficulties will be concerned about the Government’s reforms to the disabled students allowance, under which many of them will lose out. The evidence shows that students with learning difficulties are already less likely to complete their course and less likely to achieve the highest grades. Why does the Minister want to widen that gap even further?

[Mr Willetts]

Let me be clear: we are committed to helping disabled students. We will expect universities to do more to discharge their direct responsibilities to disabled students. Often, improved provision by universities is a better way of helping disabled students than funding to individual students. We will maintain strong support for disabled students.

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

5. What support his Department is giving to the life sciences sector.

[The Minister for Universities and Science (Mr David Willetts)]

We are promoting research and development, innovation and manufacturing so the UK is a global leader in life sciences. Businesses in life sciences have announced more than £2 billion of investment since our strategy was launched.

[Mr Buckland]

Following my right hon. Friend’s recent visit with me to see cutting edge 3D print technology at BD’s plant in Swindon, will he work with me to help the further development of high-value specialist manufacturing at companies such as BD, Patheon and Catalent, which form an important part of Swindon’s life sciences sector?

[Mr Willetts]

I remember vividly that visit last month and congratulate my hon. Friend on his very good working relationships with local employers. He is right that our life sciences strategy is not simply about research and development, important though that is. It is also about supporting high-tech manufacturing and promoting more of that in the UK.

[Mr Liam Byrne (Birmingham, Hodge Hill) (Lab)]

In the run-up to the election, it is important that we try to maximise consensus across the House on science policy. To help the debate, we launched our Green Paper on science on Tuesday, and I welcome the Royal Society’s report today. It is important to be honest about where we are, though. Life science investment has fallen, according to the Library, by almost £500 million since 2010. In the last year for which data are available, total R and D spending in the UK is down by nearly £1 billion. We are now 23rd out of 33 for R and D spending in the OECD. Why does the Minister think that is? I am sure he will agree that this is not the way to win a race to the top.

[Mr Willetts]

A major change is happening in the structure of the life sciences industry, with it moving away from having large, in-house R and D facilities. That trend is happening around the world. We have been particularly successful in this country in making sure that as that happens we promote alternative investment, and we are now seeing—for example, in the facility that Pfizer operated in Kent—significant renewal as new, small businesses come in. Our life sciences strategy is attracting new investment to the UK—£2 billion of it since we launched the strategy.

[Mark Menzies (Fylde) (Con)]

6. What steps he is taking to promote regional growth.

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[Mr Henry Bellingham (North West Norfolk) (Con)]

9. What plans he has to encourage foreign direct investment.

[The Minister for Universities and Science (Mr David Willetts)]

UK Trade & Investment is promoting a highly competitive corporation tax regime, seeking investment in regeneration and infrastructure and emphasising the quality of our research base, all of which make us the best place in Europe to do business.

[Mr Bellingham]

Is my right hon. Friend aware that there has been hugely significant inward investment of £500 million by the German firm Palm Paper in a paper mill in King’s Lynn? Does he agree that we need more such inward investment, and that to promote more foreign direct investment we need to deregulate further social and employment measures?

[Mr Willetts]

Our flexible labour market is one of the many reasons that foreign investors are keen to invest in the UK and we can always pursue that important agenda further. The latest independent assessment shows that the UK was the most successful country in Europe in attracting inward investment.

[Andrew Rosindell (Romford) (Con)]

10. What steps he is taking to reduce the burden of regulation on businesses.

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[Valerie Vaz (Walsall South) (Lab)]

Two thirds of students on disabled students allowances are dyslexic. Cuts to DSAs affect both the students and the institutions, and penalise both. Will the Secretary of State think again about reversing these cuts?

[The Minister for Universities and Science (Mr David Willetts)]

Let us be clear. We are consulting widely on these changes. The main change is that people should only be supported with extra services, rather than, for example, getting laptops indiscriminately, as they do at the moment. We are talking directly to the representative groups involved and students will not lose out by these changes.

[Barry Gardiner (Brent North) (Lab)]

Every one of the 14 letters that the Governor of the Bank of England has written to the Chancellor explaining why the inflation target has not been met has mentioned the rising input cost of resources. What are the Government doing to tackle the problems of input resource price spikes and to incentivise infrastructure in the circular economy to cope with that?

Oral Answers to Questions

Lord Willetts Excerpts

Thursday 10th April 2014 Commons Chamber

[Paul Blomfield (Sheffield Central) (Lab)]

2. What recent estimate he has made of the resource accounting and budgeting charge on student loans.

[The Minister for Universities and Science (Mr David Willetts)]

We currently estimate the RAB charge to be around 45%. The estimate changes frequently in the light of new economic forecasts and will continue to change.

[Paul Blomfield]

Back in the days when the Minister was confidently predicting that the RAB charge would not rise above 32%, writing in The Independent in October 2012 he described an RAB charge of 38% as the worst outcome for the taxpayer. How does he describe an RAB charge of 45%?

[Mr Willetts]

What we have achieved with our higher education reforms is significant savings to the taxpayer and extra income going to our universities. That is the right combination.

[Mr Liam Byrne (Birmingham, Hodge Hill) (Lab)]

The whole House will want to join me in congratulating Toni Pearce on her re-election as president of the National Union of Students. Figures this morning from the Sutton Trust and the Institute for Fiscal Studies show that Toni’s generation will now be paying off their student loans into their 50s. Will the Minister get to the Dispatch Box and confess that this student debt system is now not only unsustainable, but unfair? Does the Conservative party have any plans to raise the £9,000 fee in the next Parliament?

[Mr Willetts]

Let us be absolutely clear what today’s IFS report shows. It shows that people on lower earnings throughout their working lives are going to pay back less. That is a deliberate feature of our reforms which means that they are fairer and more progressive than the system we inherited from the Labour Government. Meanwhile, people who earn a lot during their working lives as a result of going to university will pay back more. That is what we intended with these reforms, and that is what the IFS shows we are delivering.

[Diana Johnson (Kingston upon Hull North) (Lab)]

3. What progress he has made on rebalancing the economy across the UK.

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[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

6. What steps he is taking to ensure that universities remain financially sustainable in the long term.

[The Minister for Universities and Science (Mr David Willetts)]

Our higher education reforms have increased university income and reduced costs to taxpayers. In 2011, universities received £7.9 billion of income for teaching. Next year, they will receive £9.9 billion. Universities are now well funded, on a sustainable basis for the long term.

[Mr Sheerman]

The Minister will be surprised to hear that I do not agree with relative complacency. I am a member of the Higher Education Commission and we are taking evidence on the long-term financial viability of our higher education sector. Time and time again, the Higher Education Policy Institute, the vice-chancellors, Lord Baker, Charles Clarke and everyone else who gives evidence to the commission say there is a serious, deep problem. We are not getting any British post-graduates as a result of the £9,000 a year. Something is deeply wrong. Will the Minister act before it is too late?

[Mr Willetts]

We now have record numbers of people applying to university. The funding is going to the courses that students choose. We are getting rid of controls on numbers of students. This system is financed by graduates—not students, but graduates—paying money back. That is the right way to finance our higher education. It is the system that all three parties have ended up proposing when they had to confront the realities of financing higher education. It is the right way forward for our young people.

[Mark Lazarowicz (Edinburgh North and Leith) (Lab/Co-op)]

Universities in Scotland—in Edinburgh, in particular—contribute substantially to the UK’s research community, as most spectacularly exemplified recently by Professor Higgs. At the same time, universities in Scotland receive 15% of UK research funding, as is right and proper given their achievements. Would it not be a tragedy if that support and co-operation were put at risk by Scotland becoming independent from the rest of the UK?

[Mr Willetts]

The hon. Gentleman is absolutely right. Although Scotland has about 8% of the nation’s GDP, it gets about 15% of the public research income that is allocated across institutions, because of the excellence of the research in institutions in Scotland. That works to the advantage of Scotland and to the advantage of the entire United Kingdom, and that is why we are better off together.

[Mel Stride (Central Devon) (Con)]

7. What recent support he has provided to small businesses.

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[Paul Burstow (Sutton and Cheam) (LD)]

10. What estimate his Department has made of the contribution of life sciences to the UK economy.

[The Minister for Universities and Science (Mr David Willetts)]

The life sciences industry contributes more than £13 billion a year to the UK economy. Since the launch of our life sciences strategy, industry has been investing £1 billion a year in Britain.

[Paul Burstow]

Sutton is home to the Institute of Cancer Research and the Royal Marsden. Together, they have a formidable global reputation in the fight against cancer. As part of its Opportunity Sutton programme, my council has a shared plan with those two organisations to develop a life science cluster. Will the Minister meet me and representatives of those organisations to discuss how the Department can facilitate the co-ordination of policy across Government to secure that vision and the 4,000 extra jobs that will come with it?

[Mr Willetts]

I would be happy to meet my right hon. Friend. That is exactly the kind of initiative that the Mayor of London envisaged when he launched his MedCity initiative earlier this week. We look forward to a golden triangle that links Oxford, Cambridge and Sutton.

[Julian Smith (Skipton and Ripon) (Con)]

11. What steps he is taking to help small and medium-sized businesses to export.

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[Roberta Blackman-Woods (City of Durham) (Lab)]

T6. The latest report from the Higher Education Funding Council for England shows for the first time in 29 years a decline in the number of overseas students studying in the United Kingdom. Let me now give the Secretary of State another opportunity to admit that the inclusion of students in the net migration target is hindering the growth and international competitiveness of our British universities.

[The Minister for Universities and Science (Mr David Willetts)]

There is no cap on the number of legitimate overseas students coming to Britain, and we will not introduce any such cap. The Secretary of State and I work with the Prime Minister and others on trade missions around the world to encourage young people with the necessary aptitude and qualifications to benefit from study in Britain to apply to come here. We can be proud of our universities.

[Henry Smith (Crawley) (Con)]

Will my right hon. Friend congratulate Elekta Oncology Systems, a leading manufacturer and exporter of oncology systems which is based in my constituency, on its plan to expand by about a fifth in Crawley, and also on its involvement in the Government’s regional growth fund?

[Mr Willetts]

I do congratulate that company. As part of our life sciences strategy, we are supporting high-tech medical companies large and small, and it is great to hear that they are prospering.

[John Robertson (Glasgow North West) (Lab)]

T7. The Secretary of State said earlier that investment in businesses would go ahead next year, but today we have heard about the closure of coal mines. Will the Minister explain why, according to figures from Bloomberg New Energy, investment in clean energy in the United Kingdom is due to hit a five-year low this year? What is happening to that investment?

[Duncan Hames (Chippenham) (LD)]

The Budget invited universities and others to bid to develop the new Alan Turing institute for big data, an invitation enthusiastically embraced in Wiltshire and Swindon’s economic plan. How can we now work with the Minister to make this bright idea a reality?

[Mr Willetts]

My hon. Friend indeed represents an area with, shall we say, some very distinctive skills in cyber and big data, and yes, absolutely, it is very important that places like his have the opportunity to apply to have the Turing centre. We will be running a consultation on its best location.

[Julie Hilling (Bolton West) (Lab)]

In answer to a written question I was told that the Government know next to nothing about the number of jobs they claim to have created, not even how many of them are new jobs rather than simply a transfer from the public sector, so why will the Secretary of State not tell us how many of these jobs are minimum wage, unpaid or zero-hours?

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[Rehman Chishti (Gillingham and Rainham) (Con)]

Farmers are the backbone of the £97 billion agriculture and food sector. How are the Government helping them take advantage of the latest science and innovation supporting our world-class agricultural technology sector?

[Mr Willetts]

My hon. Friend is absolutely right about the significance of this sector, and that is why we have a £160 million agri-tech strategy, which is aimed at promoting exports and investment in high-tech agriculture for the future.

[Karl Turner (Kingston upon Hull East) (Lab)]

The Minister of State, the right hon. Member for Sevenoaks (Michael Fallon), refused to answer me, but I wonder whether the Secretary of State could estimate how many of the 12 immediate beneficiaries of the fire sale of the Royal Mail are Tory party donors?

Oral Answers to Questions

Lord Willetts Excerpts

Thursday 6th March 2014 Commons Chamber

[Hugh Bayley (York Central) (Lab)]

14. What steps his Department is taking to encourage UK students to study for postgraduate qualifications at UK universities.

[The Minister for Universities and Science (Mr David Willetts)]

The Government understand the importance of postgraduate study, which is why we are creating a new postgraduate support fund, worth £75 million over the next two years. This investment will allow universities to pilot innovative programmes to support access and participation.

[Hugh Bayley]

As the Minister knows, the UK will not remain competitive if we do not reverse the frightening trend of falling numbers of British students starting postgraduate qualifications, and I fear that the situation could get worse as the first cohort of students to have paid much higher undergraduate fees starts to feed through the system. How many additional postgraduate students will £75 million pay for? What will the Government do further to boost the number of British students doing postgraduate courses?

[Mr Willetts]

After 2016, graduates will be paying back less per month than under the current arrangements, so that factor should not deter postgraduate study. Our extra funding is paying for 20 programmes, in 20 universities, to explore different ways of encouraging more postgraduate study.

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

15. What recent estimate he has made of changes in the number of applications by (a) part-time and (b) mature students since changes in the level of student fees.

[The Minister for Universities and Science (Mr David Willetts)]

Data are not collected on applications for part-time study in higher education. However, the number of part-time students enrolling in higher education has fallen by 42% since its peak in 2008-09. The latest figures from UCAS show that the number of mature applicants to full-time undergraduate courses has risen over the last two application cycles by 5%.

[Tom Blenkinsop]

I thank the Minister for that answer, and for that rather startling statistic. Another startling statistic is that the number of part-time undergraduates fell by 19% in 2012-13. Does he now regret the trebling of tuition fees? Does he understand that it has undermined the number of part-time students and that it is leading to declining social mobility?

[Mr Willetts]

This is not to do with the introduction of the fees and loans. As I said in answer to the previous question, the burden of repayment on graduates has fallen. The hon. Gentleman describes a trend that began under the previous Government. We believe it is attributable significantly to their policy of not funding students who already have an equivalent-level qualification. That is why I have started the process of reversing that by extending entitlements to loans to more part-time students, and we aim to continue to reverse the damage done by Labour’s policy.

[Andrew George (St Ives) (LD)]

17. What assessment he has made of the effects on businesses of banks’ lending practices.

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[Nadhim Zahawi (Stratford-on-Avon) (Con)]

I will meet representatives of Jaguar Land Rover tomorrow to discuss their vision for their Gaydon headquarters. As it is international women’s day on 8 March, I will also be discussing the work they do to encourage women and girls to take up science, technology, engineering and maths. The Secretary of State is passionate about getting more women on boards and, importantly, into all sort of industries, so will he join me in celebrating international women’s day and reminding businesses that they need to do their bit to encourage more women into the sciences?

[The Minister for Universities and Science (Mr David Willetts)]

My hon. Friend is absolutely right. To encourage more women into science, we have specifically said that when universities bid for the new capital funding we are allocating to them, they will be required to show what they are doing to attract women into those essential subjects.

Oral Answers to Questions

Lord Willetts Excerpts

Thursday 23rd January 2014 Commons Chamber

[Julian Sturdy (York Outer) (Con)]

8. What support he is providing to the life sciences sector.

[The Minister for Universities and Science (Mr David Willetts)]

We are supporting this key sector through our life sciences and agri-tech strategies, which back research and development and promote manufacturing. Since the Prime Minister launched our strategy two years ago, industry has announced investment of £2 billion, which is a vote of confidence in what we are doing.

[Julian Sturdy]

I welcome the Government’s commitment to encouraging the nation’s agri-tech industry and to recognising the importance of food security. The Minister and the Secretary of State will no doubt be aware of York and north Yorkshire’s huge potential to become a global leader in food manufacturing, agri-tech and biorenewables industries. As such, will the Minister clarify whether there are any plans to announce further catapult centres in this field?

[Mr Willetts]

There is a lot of interest in our new centres for agricultural innovation. We expect to announce the bidding process for the first one in the spring and we will consult on themes for the other centres. I congratulate my hon. Friend on reminding us of the case for York as a possible centre. Of course, my right hon. Friend the Secretary of State was brought up there, but we will try not to allow that to affect our decision.

[Mark Pawsey (Rugby) (Con)]

9. What steps he is taking to support small businesses.

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[Laura Sandys (South Thanet) (Con)]

10. What assessment he has made of innovation in the UK manufacturing sector.

[The Minister for Universities and Science (Mr David Willetts)]

Manufacturing businesses are among the most innovative in the UK. In 2012, they spent £12 billion on research and development. We are investing in R and D alongside them. In particular, we are backing eight great technologies that are shaping the industries of the future.

[Laura Sandys]

The Government focus a lot on labour productivity, but what support are they giving to innovation in resource productivity, which accounts for two thirds of the costs in manufacturing?

[Mr Willetts]

I congratulate my hon. Friend on the interesting and imaginative work she is doing on this subject with other hon. Friends. Through our support for R and D—notably but not solely through our catapult centres—we are rewarding innovation that ensures that businesses operate with lower overheads.

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[Richard Graham (Gloucester) (Con)]

18. What assessment he has made of the potential for reshoring and import substitution in the UK economy.

[The Minister for Universities and Science (Mr David Willetts)]

There is great potential for business reshoring to Britain. We surveyed manufacturing small and medium-sized enterprises and found that 11% have reshored some production to the UK in the past 12 months. The Automotive Council has identified £3 billion of additional sourcing opportunities. Businesses are bringing activities back to Britain as we become a more flexible and competitive economy.

[Richard Graham]

I believe there is more we can do to help reshoring, for example by making cash contributions to regional growth funds, cutting business rates locally for manufacturers bringing back jobs and adding reshoring to the UK Trade & Investment job description. Does the Minister agree that on import substitution there is a real opportunity to encourage supply chains to get local suppliers to compete for business? For example, Gloucestershire-based ADEY Professional Heating Solutions recently gave a £1.5 million contract to Future Advanced Manufacture, business that was previously being done in China.

[Mr Willetts]

My hon. Friend is absolutely right. We are, of course, an open economy and we export and welcome companies from abroad that invest here, but we can do more to support our supply chains so that more prime manufacturers in Britain also purchase from SMEs across the country. Indeed, I remember visiting the company to which he refers. It is an excellent example of what we are talking about.

[Karen Lumley (Redditch) (Con)]

T1. If he will make a statement on his departmental responsibilities.

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[The Minister for Universities and Science (Mr David Willetts)]

There are of course no caps on the number of legitimate, properly qualified students who can come to study in Britain, and I take every opportunity to visit India, as does the Prime Minister, to communicate that message there. Properly qualified Indian students are welcome here.

[Ann McKechin (Glasgow North) (Lab)]

T8. The Financial Times this morning quotes a Treasury spokesman as saying that an interest rate rise is “not something we are worried about” and a “sign of success”. Does the Secretary of State concur with that view?

[Harriett Baldwin (West Worcestershire) (Con)]

T6. Did the science Minister hear the excellent Radio 4 programme about Malvern’s cyber-security hub, and will he clear his diary to come and open the private sector-led national cyber-skills centre in Malvern?

[Mr Willetts]

My hon. Friend is a great advocate for the Malvern cyber-security hub, and I do indeed very much hope to visit it. I am sure it is well worth a visit.

[Mrs Mary Glindon (North Tyneside) (Lab)]

T9. Is the Secretary of State aware that all the new oil and gas platform construction projects for this year have been either cancelled or postponed, which will have a devastating effect on employment in my constituency and others in the north-east, as well as those in Scotland? Will he, together with the Secretary of State for Energy and Climate Change, take immediate steps to address this matter?

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[Paul Blomfield (Sheffield Central) (Lab)]

Last year, Sheffield Hallam university received £6.9 million as part of its share of the student opportunity fund. That not only helped it to recruit 30% of its undergraduate intake from low-income households—a commendable achievement—but to engage in critical retention work with the most disadvantaged learners. Yesterday, in the Business, Innovation and Skills Committee, the Secretary of State agreed with me that the fund’s work would be damaged if its resources were cut. Can the Minister reassure the House that that will not happen?

[Mr Willetts]

We certainly understand the value of the work of the student opportunity fund. Indeed, I have visited Sheffield Hallam university and have seen the excellent work that it does.

[Julian Smith (Skipton and Ripon) (Con)]

As the Prime Minister’s recent excellent trip to China has shown, there are phenomenal opportunities for Britain to trade with the Chinese. May I urge the Department to continue to lobby for the simplification of visas for Chinese visitors and entrepreneurs?

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[Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

Two able pupils at a Hackney secondary school in one of the most deprived parts of my constituency have been offered a place at a good university on condition that they secure two As and a B in their A-levels. The university is willing to negotiate on those grades, but will not discuss their C grades in GCSE maths: they will need B grades. If they were foreign students, they would be given coaching by the university. Will the Minister meet me, and some of the people in Hackney who are concerned about the matter, to discuss how we can tackle it and ensure that there is proper social mobility in this country?

[Mr Willetts]

I should be happy to meet the hon. Lady to discuss the matter, but let me make two things clear. First, universities decide their own admissions criteria, which is right, and secondly, as we increase the number of students and remove artificial caps, it will be possible for universities to recruit all the students who are qualified to benefit from going to university.

Oral Answers to Questions

Lord Willetts Excerpts

Thursday 5th December 2013 Commons Chamber

[Neil Carmichael (Stroud) (Con)]

17. What steps he is taking to promote engineering as a career.

[The Minister for Universities and Science (Mr David Willetts)]

In September the Government announced a £400 million boost for science, technology, engineering and maths teaching. Last month we launched the first annual Tomorrow’s Engineers week, during which the Government worked with more than 70 partners. Our recently published Perkins review of engineering skills calls for action from employers, educators and the profession to work with us to inspire young people to become engineers.

[Nigel Mills]

Does the Minister agree with the importance of getting local engineering employers to work closely with skills providers to inspire young people to go into engineering, and will he join me in welcoming the soon-to-open Heanor studio college, which will do exactly that?

[Mr Willetts]

We strongly support such initiatives, which are absolutely what is required to ensure that employers get the skilled engineers they need.

[Neil Carmichael]

Now that the Government’s economic plan is delivering the rebalanced economy we need, we also need engineers, as the Minister just said. Does he agree that one way forward is to encourage engineering in schools, and to ensure that it is considered a protected profession?

[Mr Willetts]

I certainly agree that we need to encourage engineering in schools. “Engineer” is not a restricted term, but we support professional titles such as “chartered engineer” or “engineering technician”, which are regulated, and we aim to register 100,000 apprenticeships with EngTech status by 2018.

[Lilian Greenwood (Nottingham South) (Lab)]

Does the Minister agree that investing in fundamental research is vital to inspire the next generation of scientists and engineers and to create conditions for the serendipitous discoveries of the future?

[Mr Willetts]

I completely agree with the hon. Lady, which is why the Government support fundamental research. Only last week I went to the launch of £250 million of public money for centres of doctoral training run by the Engineering and Physical Sciences Research Council.

[Mark Lazarowicz (Edinburgh North and Leith) (Lab/Co-op)]

One of the biggest engineering projects this country has ever seen will be High Speed 2. What specific steps is the Department for Business, Innovation and Skills taking in conjunction with the Department for Transport to ensure that engineering opportunities are available to businesses throughout the entire country, not just firms adjacent to the route?

[Mr Willetts]

We are already working with the current largest infrastructure plan, Crossrail, to ensure that skills are available and that we take the opportunity to build up skills in crucial techniques such as tunnelling. We will take the same approach to HS2.

[Mr Mark Spencer (Sherwood) (Con)]

I recently visited Fairfield Control Systems in my constituency, which is a small engineering company responsible not only for moving the roof at Wimbledon, but for the Division bells in the House of Commons. One of its main concerns was the Government’s encouragement of STEM subjects by the Department for Education. Has the Minister spoken with that Department about how we can encourage the teaching of STEM subjects within the school system?

[Mr Willetts]

STEMnet ambassadors are doing a fantastic job of going to schools to encourage young people to study those subjects. There is a surge in the number of young people taking A-levels in subjects such as maths and physics, which are often a requirement for going on to engineering.

[Harriett Baldwin (West Worcestershire) (Con)]

9. What assessment he has made of the ability of businesses to recruit staff with appropriate IT skills.

[The Minister for Universities and Science (Mr David Willetts)]

Our recent information economy strategy shows that employers find it hard to get people with the right IT skills, yet there is also relatively high unemployment among computer science graduates. That is why I recently convened a round-table with vice-chancellors and employers to tackle that mismatch. I know that issue is vital in the Malvern cyber-valley that my hon. Friend does so much to support.

[Harriett Baldwin]

Indeed, cyber-security IT skills are vital for the online world. Will the Minister welcome the initiative by private sector firms in my constituency to set up a cyber-skills training centre, and may I invite him, once again, to visit?

[Mr Willetts]

I do support that initiative and I hope it will be possible to visit my hon. Friend’s constituency, because I know how much she does to support the Malvern cluster, which will soon be rivalling the Cambridge cluster and tech city.

[Mr Charles Kennedy (Ross, Skye and Lochaber) (LD)]

10. What assessment he has made of the potential opportunities for manufacturers in onshore construction of offshore wind turbines.

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[Caroline Lucas (Brighton, Pavilion) (Green)]

14. If he will make it his policy to increase investment in higher education.

[The Minister for Universities and Science (Mr David Willetts)]

That is already our policy. Higher education is vital to our future productivity and economic growth. That is why we have reformed university finance and protected research spending. As a result of our reforms, total university income for teaching will rise from £7.2 billion in 2011-12 to £9.1 billion in 2014-15.

[Caroline Lucas]

The Minister will know that spending on higher education remains lower than the OECD average, yet higher education makes a huge contribution to the national economy, as I know from the two excellent universities in Brighton and Hove, so will he do even more to address this gap please? Will he also make an assessment of the University and College Union proposal to fund our knowledge economy via an increase in corporation tax for the richest 4% of our corporations, rather than by relying on tuition fees that unfairly fixate on the individual benefit of students going to university?

[Mr Willetts]

We have a fair and sustainable way of financing higher education. It is right to expect graduates to pay back the cost of their higher education if they are earning more than £21,000. That has enabled us to see more students going to university and increases in funding for teaching at universities, even while we have been tackling the budget deficit we inherited from the previous Government.

[Mr Liam Byrne (Birmingham, Hodge Hill) (Lab)]

As you know, Mr Speaker, while the Minister was batting for Britain in Kazakhstan last week, the National Audit Office was battering his handling of the student loans system. We look forward to the hearings at the Public Accounts Committee, but in the meantime would he mind telling the House how late he discovered that students at private higher education institutions were soaking up public subsidies at such a rate that there was an overspend of hundreds of millions of pounds? How did he lose control so spectacularly?

[Mr Willetts]

Let us be clear: these students are studying for HNCs and HNDs, which are all legitimate and valuable qualifications. Whereas under the right hon. Gentleman’s Government there was no control whatsoever of the designation of alternative providers, we have introduced controls. The number of students going to alternative providers has increased dramatically, and in order to maintain budgetary controls, we have introduced further limits on the numbers, but these are worthwhile courses that we should support.

[Julie Elliott (Sunderland Central) (Lab)]

15. What progress he has made on his review of zero-hours contracts.

--- Later in debate ---

[Simon Hughes (Bermondsey and Old Southwark) (LD)]

May I ask the Minister for Universities and Science what progress has been made in expanding the scholarship scheme for university students, particularly to help with the cost of living rather than the cost of fees?

[The Minister for Universities and Science (Mr David Willetts)]

We continue to provide support to students. The national scholarship programme has been shown to have less effect on young people choosing to go to university than some of the other support that is available through maintenance and student access programmes. We continue to work on the agenda set out by my right hon. Friend, ensuring that as many young people as possible from disadvantaged backgrounds apply to university.

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

T7. The Government have consistently been on the back foot when it comes to addressing the issue of late payments to small businesses. In the review of that, how will they address the central issue that late payment is a cultural and leadership issue, and needs to be seen as unethical as tax evasion?

--- Later in debate ---

[Paul Blomfield (Sheffield Central) (Lab)]

T10. May I press the Minister for Universities and Science further on why he repeatedly rejected warnings on uncontrolled financial support to students in private higher education colleges? In March, he argued that the policy was important to enable private providers to continue with their expansion, but now that he is faced with a growing black hole in the BIS budget, he has reversed the policy. Will he explain why and will he guarantee no further cuts to student support to pay for his mistake?

[Mr Willetts]

Let us be clear, we inherited from the previous Government a complete rubber-stamping exercise under which there was no control whatsoever over alternative providers. We introduced controls. For example, in the last year, out of 87 applications from alternative providers, 18 were approved and 69 were rejected. That was effective quality control and we have taken further steps to ensure that the Department can remain within its budget.

[Mark Reckless (Rochester and Strood) (Con)]

Our plans predate small business Saturday, but this weekend in Rochester we have a Christmas fair and also a Dickens weekend. They attract many thousands of people to Rochester, which has, almost entirely, independent small businesses. Will the Minister join me in welcoming that?

Oral Answers to Questions

Lord Willetts Excerpts

Thursday 24th October 2013 Commons Chamber

[Steve Rotheram (Liverpool, Walton) (Lab)]

8. What steps he is taking to increase the number of students from Liverpool who go to university.

[The Minister for Universities and Science (Mr David Willetts)]

We have placed increased responsibilities on universities to widen access. Universities and colleges plan to spend more than £700 million a year by 2017 on broadening access, and our highly successful student finance tour is running again this year, providing students and parents with information about the student finance available.

[Steve Rotheram]

The Minister will be aware that we face a difficult task in attracting people from deprived areas in Liverpool to universities and that we also face a challenge in retaining students who have graduated from higher education institutions. What steps does he plan to take to make it more attractive for graduates to stay in the city of their learning?

[Mr Willetts]

We are seeing an increase in the percentage of people from deprived areas who are applying to university and last year saw a national record overall. The figures in the Liverpool local authority area also show continuing increases in the percentage of people from poorer backgrounds applying to go to university. Of course, one of the great attractions of having a leading university in the city is that many graduates then stay.

[Several hon. Members]

rose—

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[Mr Willetts]

I absolutely agree with my hon. Friend and congratulate him on his commitment, particularly to education as it affects Liverpool.

[Mr Speaker]

I call Mr Simon Hughes, from the distant territory of Southwark and Bermondsey.

[Simon Hughes (Bermondsey and Old Southwark) (LD)]

When I visited Liverpool to do some work for the Government on access to education, I was clear that one thing that students there wanted was the opportunity for scholarships to help with living costs. Will the Minister update us on the roll-out of the scholarship programme for young people from deprived backgrounds in Liverpool and elsewhere?

[Mr Willetts]

We have been able to help people from deprived areas in Liverpool and across the country through the fact that the combination of the value of the maintenance grant and the maintenance loan is higher now for people from poorer backgrounds applying to university than it ever was before.

[Karl Turner (Kingston upon Hull East) (Lab)]

9. What assessment he has made of the effect on postal services of the privatisation of Royal Mail.

--- Later in debate ---

[Kerry McCarthy (Bristol East) (Lab)]

17. What assessment he has made of the potential effect on UK artists and creators of introducing a private copying exception without compensation.

[The Minister for Universities and Science (Mr David Willetts)]

This change will allow people to make personal copies of content they have bought. For example, it will allow an individual to copy their CDs on to an iPad. Many people already do this without realising it is illegal under copyright law. Most people think it is reasonable and should not be prevented by copyright. The Government agree and our new law will recognise this. This change will not allow people to obtain copies unlawfully, and British creators will continue to be rewarded when people buy copies of their works.

[Kerry McCarthy]

So far, the 22 EU member states that have introduced private copying exceptions have all introduced corresponding levy schemes on MP3 players and other copying devices to compensate artists for the loss of income. Why will the UK not do the same?

[Mr Willetts]

The reason is very simple: those European countries have introduced far wider exemptions than we are proposing. Many of them allow content borrowed from friends, families and libraries to be shared very widely. That damages creators, so they need to provide compensation, but our proposal is carefully targeted to protect what happens, as we all know, in almost every family in the country without doing damage to creators.

[Chris Bryant (Rhondda) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

--- Later in debate ---

[Paul Blomfield (Sheffield Central) (Lab)]

The Secretary of State will know that there is serious concern among our universities about many of the provisions of the Immigration Bill and their impact on international student recruitment. What discussions has he had with universities on the issue and what representations has he made to the Home Office?

[The Minister for Universities and Science (Mr David Willetts)]

What we are seeing is a continuing increase in the number of overseas students applying to come to study in Britain. We all make it clear whenever we visit overseas markets that there is no cap on the number of legitimate overseas students coming to Britain; they are very warmly welcome.

[Miss Anne McIntosh (Thirsk and Malton) (Con)]

I understand that in 2014-15 the local LEP is going to have a sizeable budget to distribute for infrastructure. Will the relevant Minister explain how we can access that budget and what the criteria will be?

--- Later in debate ---

[Iain Stewart (Milton Keynes South) (Con)]

Yesterday evening, I had the pleasure of attending the formal launch of the transport systems catapult, which is going to be based in Milton Keynes. Does my right hon. Friend agree that this will be an important innovation to reaffirm the UK’s leading role in transport technology development?

[Mr Willetts]

This is a very important event—investment in our transport infrastructure to make it smart and innovative. It is backed with £50 billion of BIS money, with support from the Department for Transport—and, most importantly, with substantial business support as well.

[Steve Rotheram (Liverpool, Walton) (Lab)]

The Secretary of State will be aware of my concern about the legal requirements when a company goes into administration. Will he look at making it a mandatory requirement for administrators to prioritise the wider social consequences of the sale of a company rather than allowing asset strippers to destroy jobs and local communities?

[Julian Smith (Skipton and Ripon) (Con)]

This week marks the 50th anniversary of the groundbreaking Robbins report. Will the Minister for Universities and Science confirm that this Conservative-led Government will continue the spirit of Robbins and ensure that higher education is open to all?

[Mr Willetts]

My hon. Friend is absolutely right; indeed, today is the day, 50 years ago, when the then Conservative Government accepted the Robbins report. We are marking the 50th anniversary with more funding going into universities, with more students and with more applications from students from disadvantaged backgrounds than ever before, so we can be proud of our record on higher education.

[Kerry McCarthy (Bristol East) (Lab)]

A report published today by the 1994 Group of universities shows that, although the overall figures for post-graduate study in the United Kingdom look healthy, that is mainly due to a 90% increase in the number of overseas students. What are the Government doing to support British post-graduate students?

[Mr Willetts]

That is an issue, which is why the Higher Education Funding Council for England has provided an extra £25 million of support for next year’s post-graduate students. We will increase that amount to £75 million for the following year, because we do not wish to see people who could benefit from post-graduate education missing out.