§ 3. Mr. Rhodesasked the First Secretary of State and Secretary of State for Economic Affairs what estimate he has made of the further action necessary to stimulate the economic recovery of the northern region.
§ Mr. AlbuUnder the new system of incentives which was announced last month, investment grants will be available at double the national rate throughout the whole of the northern region. This will provide a powerful stimulus to its economic recovery and will reinforce encouraging progress already made.
§ Mr. RhodesI thank my hon. Friend. Will he bear in mind that, in spite of the recovery of recent months, there are still underlying weaknesses in the northern economy which can be strengthened only by getting a major new expansive industry there, such as motor manufacturing?
§ Mr. AlbuI am aware of the problem. Perhaps my hon. Friend will be encouraged by the fact that unemployment in the northern region was 2.8 per cent. in January, 1966, compared with 3.2 per cent. in January, 1965. That is a measure of the progress that is being made.