HC Deb 09 November 1967 vol 753 cc1240-1
31. Mr. Willey

asked the Secretary of State for Economic Affairs what will be the criteria for the definition of the new development areas or special areas within the development areas.

Mr. Alan Williams

The areas selected are those where, in the absence of special measures, colliery closures are likely to cause very high levels of unemployment which would persist for at least two or three years.

Mr. Willey

Will my hon. Friend look at this again? We were much encouraged in Sunderland by the visit of my right hon. Friend the Chancellor of the Duchy of Lancaster and convinced him of our special difficulties. Would my hon. Friend look at other areas, apart from those with mine closures, which have particular difficulties?

Mr. Williams

The intention of the scheme is to deal with a rapid and high rate of unemployment created by technological conditions or the decline of an industry. If similar circumstances should emerge in other industries, we would take the appropriate action.

Dr. Dunwoody

Does not my hon. Friend agree that the fact that the regional employment premium is related to the proportion of manufacturing industry workers in the development areas is one of the reasons that we still face this special development area problem in such areas as the far South-West?

Mr. Williams

The point of the premium, surely, is to enable manufacturing already existing in these areas to become more competitive and that it should act as an extra inducement to firms to move into those localities.