§ 13. Sir W. Wakefieldasked the President of the Board of Trade why Super Oil Seals and Gaskets, Limited, who incurred an expenditure of £46,000 and losses of approximately £50,000 in connection with the opening of a factory in South Wales under pressure from his Department, have had their application for a grant under Section 3 (1) of the Distribution of Industry Act, 1950, refused.
§ Mr. P. ThorneycroftI am aware that the company claim that certain expenditure and loss were incurred solely as a result of the establishment of production in a modern factory near Cardiff which was leased to them at a favourable rent. Having considered all the relevant factors, I am not, however, satisfied, as required by Section 3 (1) of the Distribution of Industry Act, 1950, that there are exceptional circumstances which justify a grant in this case.
§ Sir W. WakefieldWill my right hon. Friend tell industry that he is not proposing to give further assistance under this Act, as he is clearly rendering inoperable the intention of the Act by administrative action?
§ Mr. ThorneycroftNo, Sir. I think I must judge each case on its merits, in accordance with the statutory requirements of the Act.
§ Sir W. WakefieldCan my right hon. Friend say in how many cases a decision for assistance was agreed?
§ Mr. ThorneycroftThere are two cases in which assistance has been agreed in principle and where it will shortly be given.