HC Deb 08 July 1925 vol 186 cc400-1
43. Mr. DENNISON

asked the Minister of Labour if he is aware that 60 per cent. of the iron ore miners in West Cumberland are unemployed, and that this high percentage is mainly due to the extensive use of cheap steel scrap in British melting furnaces obtained from salvaged German destroyers at Scapa Flow; and will he take steps to grant some financial assistance, in excess of unemployment benefit, to these unemployed miners out of the proceeds obtained by the Government from the sale of these ships as compensation due to the nature of the unemployment?

Sir A. STEEL-MAITLAND

The number of iron ore miners and quarrymen registered as unemployed at the local offices of the Ministry of Labour in Cumberland was 1,692, or about 39 per cent. of the number in the industry in that district. It is probable that the consumption of cheap scrap steel for conversion is heavier than before the War, but I am not advised that the position in the Cumberland area can be mainly attributed to this circumstance. In any case, I am afraid such a circumstance would not enable me to make special grants of compensation.

Mr. HOPKINSON

Is the right hon. Gentleman aware that in the open hearth process a certain proportion of scrap steel is an absolute necessity?

Sir A. STEEL-MAITLAND

It is perfectly true, and it is also to be noted that the employment of scrap steel has increased largely in bulk in all countries as compared with before the War.

Mr. DENNISON

Is the right hon. Gentleman aware that because of the bulk of abnormally cheap scrap steel, due to the raising of these ships, the amount of scrap used has increased from 35 per cent. in normal times to 75 per cent. owing to its cheapness, and therefore, does he not think that those who have lost their employment through this cause should get increased benefit?

Sir A. STEEL-MAITLAND

The answer is twofold. The hon. Member, I think, does, not realise that the amount of scrap due to these vessels being raised is only 10,000 tons, which is, so to speak, only a drop in the bucket of the whole steel production, and can in itself have only an inappreciable effect. Therefore on that account no unemployment arises. On the other hand, I frankly could not consider a claim of that kind, in any case, in answer to a question, as it would have consequences far beyond the immediate case in question.