§ 28. Mr. Wolrige-Gordonasked the Minister of Labour what has been the effect of the Selective Employment Tax on redundancy in the Highlands and the North-East of Scotland; and what alternative work is being provided for those affected.
§ Mrs. Shirley WilliamsIt is too early to assess the effect of the tax on employment in the Highlands and North-East of Scotland.
§ Mr. Wolrige-GordonIs the Minister aware that the service industries which have to pay this absurd tax are the industries which have provided a large proportion of all the employment in the area?
§ Mrs. WilliamsYes, we are well aware of that. But I am informed that there have been no large-scale dismissals which can be directly attributed to the imposition of the tax.
§ Mr. BuchanDoes not my hon. Friend agree that the working of this tax has been so unselective that it is time that we had a look at the situation, so that we might ensure that the Chancellor fully reviews it in April, from the point of view of regional or industrial differentiation?
§ Mrs. WilliamsMy right hon. Friend the Chancellor has made it clear that the tax will be reviewed after it has been in operation for a year—and that review will take place.