Oral Answers to Questions

Debate between Michael Fabricant and Mark Hoban

Monday 28th January 2013 Commons Chamber

[Michael Fabricant (Lichfield) (Con)]

19. What steps his Department is taking to support people who want to start their own business.

[The Minister of State, Department for Work and Pensions (Mr Mark Hoban)]

We believe that for many people self-employment is the best route out of unemployment. That is why we have introduced the new enterprise allowance and enterprise clubs, which have proved effective in helping people back into work.

--- Later in debate ---

[Mr Hoban]

My hon. Friend makes an important point. We should be capitalising on the skills of graduates of Bournemouth university to ensure that the digital economy spreads throughout the UK, including to silicon beach. I urge him to talk to his local council and to others to see what opportunities there are to bring forward premises that could be used for self-employment.

[Michael Fabricant]

Unemployment in Lichfield was running at 2.6 % in December, but that is still not good enough. What are the Government doing to provide an enterprise culture in practice, and how many people has my hon. Friend managed to get starting new businesses?

[Mr Hoban]

My hon. Friend will be aware that in Lichfield, 30 claimants have started with a business mentor. That has led to 20 businesses starting already. Some 8,000 new businesses have been started as a consequence of the new enterprise allowance, and I am pleased to announce that we are going to extend the availability of the new enterprise allowance to lone parents on income support and to some employment and support allowance claimants, because they are the sort of people who would be able to benefit from the new enterprise allowance and combine their existing responsibilities with starting a business for themselves.