HC Deb 10 December 1963 vol 686 cc217-9
Q8. Mr. Shinwell

asked the Prime Minister what action the Secretary of State for Industry, Trade and Regional Development, the Ministers of Pensions and National Insurance and Labour, and other Ministers concerned, are taking to prepare a co-ordinated scheme for the relief of unemployment, pending the completion of schemes referred to in the White Paper on regional development

The Prime Minister

The Government's plans for assistance to areas of high unemployment include a number of measures which are already in operation. Amongst these are the new standard grants under the Local Employment Act, 1963, free depreciation on investment undertaken in development districts, a substantial increase in public service investment in the North-East and Central Scotland, permission for local authorities to undertake work up to £15,000 without prior authorisation in the coming winter and a £75 million credit scheme for shipbuilding. The sharp increase in unemployment when occurred in the autumn of last year has not happened this year and unless we have another abnormally hard winter the effect of these measures should be increasingly felt in the coming months.

Mr. Shinwell

Would not the right hon. Gentleman agree that the schemes to which he has just referred, though very good in themselves, will take some time to come to fruition Does he recognise that both in Scotland and the Norht-East, and in some other parts of the country, there exist a vast number of unemployed persons for whom no relief is available apart from unemployment benefit and, occasionally, National Assistance? Would not he agree; that some further relief should be provided either by an increase in unemployment benefit or by a revision of National Assistance allowances?

The Prime Minister

My right hon. Friend the Secretary of State for Industry and Trade is concerned with training schemes for young people who may not be able to find employment. I think that I would like to see the full effect during this winter of the measures we have taken. I think that it may be quite considerable.

Mr. W. Hamilton

Does the Prime realise that there are very nearly 100,000 unemployed n Scotland before the winter starts, and that the great majority of the schemes he outlined a few moments ago will have no effect whatever on their standard of living nor that of the thousands of unemployed in England? How can he say that we are one nation when there are hundreds of thousands living on subsistence rates?

The Prime Minister

I cannot accept the hon. Gentleman's suggestions and forecasts in this case. The total of assistance on firm offers, for instance, under the Local Employment Act at the end of October amounted to £93 million for 494 projects which can provide employment for nearly 100,000 people. [Interruption] The hon. Gentleman made certain assertions and I must refute them. The loans for the shipbuilding industry alone, I would have thought, are already having an effect on the Clyde.

Mr. H. Wilson

Is the right hon. Gentleman purporting to refute the only assertion contained in the supplementary question of my hon. Friend the Member for Fife, West (Mr. W. Hamilton)—namely, that there are more than 100,000 unemployed in Scotland before the onset of the winter and a great many more in England, all living on subsistence rates? Does the Prime Minister accept that as part of the present situation or does he not?

The Prime Minister

It was the fact of unemployment in Scotland and the North-East that led us to introduce our present proposals.

Mr. Shinwell

Do those answers mean that the right hon. Gentleman proposes to ignore the low standard of living, and, in many cases, the lack of proper nutrition for more than 400,000 unemployed? [Interruption.] Is that what it means? Is that all the sympathy he has? Let him answer that question. [Interruption.] You ought to be ashamed of yourselves.

The Prime Minister

The right hon. Gentleman and his hon. Friends have been pressing us for a long time to do something about the North-East of England and Scotland. We have now taken certain measures which I think will be effective, and I want to see the results.