HC Deb 20 December 1962 vol 669 cc1415-6
3. Mr. Ross

asked the President of the Board of Trade how many projects under the Local Employment Act were authorised in 1960 and 1961, respectively; how many jobs were expected to arise from these projects; and how many have so far been provided.

Mr. Erroll

One hundred and two between 1st April, 1960, when the Act came into force, and 31st December, 1960, to create 38,000 new jobs; and 161 in the calendar year 1961 to create 27,000 jobs. I cannot say how many of these jobs have already arisen.

Mr. Ross

The right hon. Gentleman will know that the position becomes even more unsatisfactory with every month that passes. This is the main instrument for dealing with the situation. Since today's figures show that Scotland now has over 100,000 unemployed, just over two years after the passing of the Act which was supposed to cure the trouble, will the right hon. Gentleman take urgent steps either to strengthen and extend the Act or Ito replace it with something really worth while?

Mr. Erroll

I assure the hon. Gentleman that the Act is an excellent one and has done its job very well indeed. Without it, I think it is very doubtful whether we should have been able to get the two motor vehicle projects to Scotland. It has never been claimed that the Act would be able to overtake all unemployment which might arise at any time in future through a rapid decline of older industries.

Mr. Jay

Does the right hon. Gentleman explain the curious paradox that the Act has done its work very well although unemployment is much higher than it was before it started operating by saying that in so far as he creates new jobs by the operation of the new Act the Chancellor of the Exchequer creates even greater unemployment by his general economic policy?

Mr. Erroll

On the contrary, my right hon. Friend's economic policy is designed to refute the economy to the extent necessary.

Mr. Ross

Is the right hon. Gentleman aware that when I asked a Question in March, just after the passing of the Act, the figure for unemployment in Scotland was 69,000? How can he say that the Act is working very well when the figure announced today is 100,600?

Mr. Erroll

I can only repeat what I have said, that we should consider the number of factories that have been steered to Scotland as a result of the Act.

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