HC Deb 19 March 1964 vol 691 cc1584-6
44. Mr. Wainwright

asked the Secretary of State for Industry, Trade and Regional Development if he is aware that the factory known as Bakers and Bessemers Ltd., Kilnhurst, will become vacant during the early part of next month; and if he will schedule South Yorkshire as a development district, in order to take action to encourage some other firm to take the place of the outgoing company.

Mr. Heath

I am aware of the forthcoming closure of this factory and I shall do all I can to find a new occupier for the premises. The level of unemployment in South Yorkshire is not such that I should feel justified in making it or any part of it a development district.

Mr. Wainwright

Does the right hon. Gentleman realise that the consortium that bought the plant did so deliberately to close it down? Is he aware that this so-called outdated plant is being transferred to other companies attached to the consortium throughout Yorkshire and the rest of the country? Is he aware that part of the machinery is the most up-to-date in the country, and that the two major members of the consortium—United Steel and English Steel—are falling out about it? Will he do something to ensure that this kind of thing does not happen in the future, and may I press him to bring some other industry into this part of Yorkshire when this factory has closed down?

Mr. Heath

The factory is to close down on 28th March. About 900 out of 1,100 workers have already been discharged, and some 800 of them have already found other employment. The economy is expanding there. The steel industry is doing well, and over most of Yorkshire the unemployment rate is below 2 per cent. Several firms are already interested in the factory, and some of them have inspected it with a view to possible purchase.

Mr. Wainwright

The right hon. Gentleman says nothing about the welfare of the men who have lost their jobs. About 300 more men are to be put out of work on 28th of this month. The right hon. Gentleman has said nothing about the intentions of the consortium, or the fact that the two main members of the consortium—United Steel and English Steel—deliberately purchased the plant to close it down. This sort of thing should not be allowed to happen in the future.

Mr. Heath

I say that it is encouraging that 800 men out of 900 should already have found alternative employment; that the rate of unemployment in the area is below 2 per cent.; that other opportunities are coming along, and that other firms are inspecting the factory for their own use. All this is extremely encouraging, and certainly does not allow me to accept the hon. Gentleman's suggestion of making this area a development district.

Mr. Wainwright

On a point of order, Mr. Speaker. In view of the very unsatisfactory nature of that reply, I beg to give notice that I shall raise the subject on the Adjournment at the earliest possible moment.