§ 14. Mr. Grimond
asked the First Secretary of State and Secretary of State for Economic Affairs what proposals he has 1312 for restraining demand for labour in the regions of the country where it may be too high, without causing a check to development and excessive unemployment in the regions where it is too low.
§ Mr. Albu
We have exempted development districts from the measures announced in July to slow down the growth of public and private investment; we are exercising control over office development in the areas round London and Birmingham; and we have tightened the controls on industrial development in places with high demand for labour. These measures are already having the intended effects in the regions. The Government's further proposals to improve the regional balance were, of course, mentioned in the Gracious Speech.
§ Mr. Grimond
Does not the Minister think, however, that there is still acute danger that though the extra demand and money may be pumped into some regions which require it, there is too big a flow-back to the South-East? Will the hon. Gentleman look at differential rates of taxation in addition to the measures which he has mentioned?