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111WS<br />
Written Ministerial Statements<br />
6 JUNE 2013<br />
Written Ministerial Statements<br />
112WS<br />
The Council took note of a proposal for a space surveillance and<br />
tracking support programme. Under AOB, the Commission briefly<br />
presented its proposals for the funding and operation of the<br />
European Earth monitoring programme (Copernicus) 2014-20<br />
(previously known as “GMES”). Their latest proposal reflected<br />
the agreement made at February’s European Council that Copernicus<br />
should be funded from within the multi-annual financial framework<br />
(MFF). It would provide a solid legal base from which to launch<br />
the next set of satellites in the “Sentinel” series and support the<br />
delivery of downstream applications that would foster economic<br />
growth. The Commission emphasised the importance of a swift<br />
negotiation on the regulation in order to ensure the programme<br />
could launch at the beginning of 2014. The space discussion<br />
closed with a short update from the Commission on work to<br />
re-evaluate the relationship between the EU and the European<br />
Space Agency (ESA). The Commission argued that reciprocal<br />
access to the respective decision-making bodies was essential for<br />
the relationship to function effectively. The UK intervened to<br />
insist that the issue of the Commission role in ESA governance<br />
was one that required careful analysis before decisions could be<br />
taken by Ministers.<br />
On the research items, the Council adopted conclusions in<br />
response to the Commission communication “High Performance<br />
Computing: Europe’s place in a Global Race”. These highlighted<br />
that HPC is an important asset for the EU’s innovation capacity.<br />
The Council then adopted conclusions in response to the Commission’s<br />
communication on “Enhancing and focusing EU international<br />
co-operation in research and innovation”. The Commission undertook<br />
to closely involve member states in the implementation of multi-annual<br />
“road maps” for co-operation with selected countries. Council<br />
subsequently adopted without discussion a resolution on the<br />
advisory work for the European research area (ERA). This resolution<br />
agreed that the advisory committee ERAC should be renamed the<br />
European Research and Innovation Committee (while keeping<br />
the existing acronym ERAC) in order to enhance its advisory role<br />
in research-led innovation.<br />
The presidency updated Council on progress in negotiations<br />
with the European <strong>Parliament</strong> on the Horizon 2020 Regulation<br />
and associated Rules for Participation Regulation. The presidency<br />
noted that seven trialogue meetings had been held with the<br />
European <strong>Parliament</strong>, and that negotiations were now entering a<br />
critical phase if a deal was going to be delivered by the end of<br />
June. They believed that a compromise package could secure an<br />
agreement which did not alter the Council’s agreed position on<br />
the reimbursement model. The Commission reiterated the importance<br />
of simplification; this was essential to make life more straightforward<br />
for participants, and widen participation by reducing barriers to<br />
entry. The Council then broke for lunch. After receiving a short<br />
presentation from the CERN Council on the European strategy<br />
for particle physics, the presidency hosted an informal discussion<br />
between heads of delegation on their strategy for the Horizon<br />
2020 negotiations. The UK intervened to support the presidency’s<br />
aim of securing political agreement by the end of June, while<br />
recognising the need to demonstrate a willingness to compromise<br />
on several issues of importance to the European <strong>Parliament</strong>.<br />
Following this discussion the Council reconvened. The presidency<br />
concluded without further discussion that a large majority of<br />
member states had subscribed to their proposal that simplification<br />
and the “flat rate” funding model should be defended and that in<br />
exchange the Council could show flexibility on other issues, such<br />
as widening participation, a fast track to innovation instrument,<br />
some earmarking in favour of renewable energy research, and<br />
stronger support for SMEs. As a result of the discussion the<br />
presidency noted that they would intensify negotiations with the<br />
European <strong>Parliament</strong> with a view to securing an informal agreement<br />
by the middle of June.<br />
A policy debate then took place on joint programming initiatives<br />
(JPIs). The UK intervened to underline the strong UK support<br />
for JPIs. These were complex initiatives and member states had<br />
invested significant time, money and effort in them. In the UK it<br />
was for research councils to make decisions about funding. The<br />
Commission called for swifter implementation, in particular in<br />
relation to alignment of national strategies.<br />
Under AOB, the Commission updated Council on the state of<br />
play on the proposal for a Council regulation on the Euratom<br />
research and training programme 2014-18 and on the proposal<br />
for the European Institute for Innovation and Technology (EIT)<br />
programme (these both form part of the Horizon 2020 package).<br />
The incoming Lithuanian presidency briefly presented its work<br />
programme. The Council also received a short overview of a<br />
recently published Communication on Energy Technologies and<br />
Innovation. This would be discussed in greater detail at June’s<br />
Energy Council.<br />
Reducing Burdens on Small Businesses<br />
The Minister of State, Department for Business, Innovation<br />
and Skills (Michael Fallon): I am announcing today a<br />
strengthening of this Government’s commitment to<br />
bear down on unnecessary regulatory burdens on small<br />
businesses.<br />
The Government recognise that the burden of regulation<br />
falls disproportionately on small businesses. They have<br />
t<strong>here</strong>fore already taken specific and concrete steps to<br />
reduce the burden of regulation on smaller businesses,<br />
for example:<br />
Saving SMEs £388 million by not extending the right to<br />
request time to train to businesses with fewer than 250 employees.<br />
Exempting smaller retailers for three years from the display<br />
ban on tobacco, which applies to supermarkets and very<br />
large stores from April 2012.<br />
Phasing implementation of pensions automatic enrolment,<br />
so that small business will not need to comply until June<br />
2015.<br />
This Government are also reducing the burdens of EU<br />
legislation by holding the European Commission to account<br />
on their commitment to seek exemptions and lighter regimes<br />
for SMEs in new proposals. The Commission’s March SME<br />
scoreboard published recent examples, several of which are<br />
already bringing major benefits for UK businesses, such as<br />
the agreement exempting up to 1.4 million UK small businesses<br />
from certain EU accounting rules.<br />
We are also reducing the stock of regulation through<br />
the red tape challenge. Many changes resulting from<br />
this process will help small businesses. Examples include:<br />
Our radical package of employment tribunal reforms is<br />
expected to deliver £40 million of savings per year to employers.<br />
We are committed to a major deregulation of entertainment<br />
licensing through 2013.<br />
We are freeing around 1 million self-employed people from<br />
health and safety law whose work poses no harm to others.<br />
This Government introduced a three-year moratorium<br />
on new domestic regulation for micro-businesses and<br />
start-ups from 1 April 2011, in order to support growth<br />
and establish a period of increased regulatory stability<br />
for the smallest businesses.<br />
The moratorium is an important mark of the<br />
Government’s aspirations for reducing regulatory burdens<br />
on the smallest businesses.<br />
It reflects established evidence on the disproportionate<br />
burden that new regulation places on smaller business,<br />
as well as their importance for jobs and growth.<br />
We are now building on these achievements by extending<br />
the moratorium in the second half of the <strong>Parliament</strong> to<br />
cover small businesses as well as micros. This will now<br />
be known as the small and micro-business assessment<br />
(SMBA). It will be supported by independent scrutiny<br />
from the Regulatory Policy Committee.