HC Deb 24 May 1938 vol 336 cc1034-5
72. Mr. Magnay

asked the President of the Board of Trade whether he can make any statement about industrial undertakings recently started in the north-eastern Special Areas in connection with the Surrey Scheme?

Mr. Stanley

I have no official information about the Surrey Scheme, but I am told that it has been concerned in the establishment of four industrial undertakings in Jarrow and two in Gateshead; that these undertakings are already employing more than 1,200 men, a number which it is expected will increase substantially; and that their capital approaches £750,000. Three of these undertakings—a tube works in Jarrow, a works for the manufacture of steel and refined iron and certain finishing processes in Jarrow, and a works for the manufacture of pneumatic tools at Gateshead—have received assistance under the Special Areas (Amendment) Act, 1937, from the Commissioner for the Special Areas and from the Treasury under their powers under that Act, or from the Nuffield trustees, or from the Special Areas Reconstruction Association.

Mr. Magnay

While thanking my right hon. Friend for his answer, and the promise that it means for Tyneside, may I ask what proportion of this £750,000 has come from the Nuffield Trust and other sources?

Mr. Stanley

It is not the practice to give information as to the exact financial arrangements.

Mr. Magnay

Would I be correct in assuming that 25 per cent. has come from such sources?

Mr. Stanley

A considerable amount.

Miss Wilkinson

I did not catch the right hon. Gentleman's reply. Did I understand him to say that on the Surrey Scheme 1,200 men were now being employed in Jarrow, or that it was hoped to employ 1,200?

Mr. Stanley

There are four undertakings in Jarrow and two in Gateshead, and on these 1,200 are being employed.

Miss Wilkinson

It is nothing like that now.

73. Miss Wilkinson

asked the President of the Board of Trade whether he is now in a position to make a statement regarding the proposed steelworks at Jarrow?

Mr. Stanley

The Commissioner for the Special Areas has entered by arrangement on that part of the Palmer's Yard site which is needed to enable a start to be made with the steelworks. He has now agreed the purchase price with the vendors, and the contract is being prepared. The lease of the site from the Commissioner to the proposed company has been prepared, and the few points which have been raised by the promoters of the company are now under discussion.

Miss Wilkinson

As it is impossible by way of question and answer to deal with this very complicated question that has arisen at Jarrow, I beg to give notice that I shall raise it at some convenient time. I hope I shall be allowed to do so on the Estimates to-day.