A grant from the Yorkshire and Humberside Universities’ Association (with Dimitris Assimakopoulos and Pat Anderson) has supported research into the link between the higher education initiatives of the European Social Fund and innovation in small firms in the north of England. The research found little linkage. It would seem that the main beneficiaries of the scheme are not the small and medium enterprises that participate in the scheme, but the universities and consultants paid to provide them with education and training.