§ Mr. Redmond
To ask the Secretary of State for Scotland what decisions his Department has taken in respect of local enterprise companies over the last 12 months; and if he will make a statement on his Department's involvement with LECs over the same period.
§ Mr. Stewart
[holding answer 29 June 1994]: My right hon. Friend and the Scottish Office set the operating frameworks within which Scottish Enterprise and Highlands and Islands Enterprise contract with the local enterprise companies, but do not have any direct, formal relationship with the local enterprise companies themselves. Scottish Enterprise requires the approval of the Scottish Office before making material changes to the local enterprise company operating contracts or articles and memoranda of association. One such case has been referred to the Scottish Office in the past year. In addition, there are frequent informal contacts between Scottish Office Ministers and officials and the local enterprise companies.