UKTI's budget for International Business Schemes will be reduced from £16 million in 2005/06 to about £10 million across ALL industry sectors in the UK; the bulk of that money will have to benefit directly core customers, the 'new-to-export' companies (defined as those for whom 'active' exports account for no more than 10% of total sales within a limit of 25% of total sales for both 'active' and 'reactive' exports); and the need for local delivery of grant support through International Trade Advisers (ITAs) in the UKTI network.
UKTI realises that the proposed changes to the support scheme are difficult and contentious for many ATOs; that was again apparent from comments made in sessions between ATOs and UKTI in early February 2005. However, UKTI is forging ahead with its proposals, despite serious concerns from all industry sectors regarding their policy. It must be pointed out that UKTI consultation sessions with ATOs took place after they had decided the framework on how the scheme would evolve. The ATO community was not included from the start.