§ 28. Mr. Mander
asked the President of the Board of Trade the number of compensation schemes in operation under the 19 concentration of industry; and the precise basis on which these are arrived at?
§ Mr. Dalton
Twenty compensation schemes covering whole industries or large sections of industries have been approved. These vary widely in character. Usually there is a central fund raised by levy on the machine-capacity or the turnover of the nucleus firms, and from this fund the closing firms draw compensation. This compensation has to be applied first to the care and maintenance of the plant and machinery of the closed firms. For the rest of the concentrated industries numbering 36, there are no central compensation schemes, and the normal practice is for the nucleus firm to produce goods at cost for the closing firm which continues as a selling organisation.