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Enterprise Allowance Scheme

Volume 130: debated on Tuesday 29 March 1988

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To ask the Secretary of State for Employment if he will make a statement on the number of jobs that have been created through the enterprise allowance scheme since its inception.

The information is not available in the form requested. Since the inception of the enterprise allowance scheme in 1982 over 320,000 unemployed people have been helped to start their own business. Latest survey evidence shows that for every 100 businesses continuing six months after the allowance has ended, 71 people, in addition to the recipient of the allowance and any business partner, are employed at that time. Two years after the allowance has ceased, the number of additional people employed rises to 114 per 100 firms surviving.The surveys also show that for those completing a full year on the scheme 74 per cent. were still trading six months after the allowance ended and 65 per cent. two years after the allowance has ceased.