HC Deb 12 February 1969 vol 777 cc1301-2
18. Mr. Patrick Jenkin

asked the President of the Board of Trade what estimate he has made of the trend of the investment intentions in the distributive and service trades in 1969; and how these compare generally with the investment intentions of manufacturing industry.

59. Mr. Hall-Davis

asked the President of the Board of Trade what estimate he has made of the level of manufacturing industry's investment in 1969; and how this compares with the actual level in 1968.

75. Mr. Hordern

asked the President of the Board of Trade what he estimates will be the increase in the level of manufacturing investment during 1969.

Mr. Dell

The information available was published in the Board of Trade Journal of 24th January, 1969.

Mr. Jenkin

Would the Minister of State be prepared to reconsider the classification of one industry now regarded as a service industry, namely, the scrap reclamation industry which has an enormous potential for import saving? Would it not be a good idea for something to be done to encourage the investment, expansion, and prosperity of this industory in the national interest?

Mr. Dell

I am not sure whether the hon. Gentleman is referring to the classification of the industry in the investment intentions forecast made by the Board of Trade or for investment grants. I dealt with the subject of investment grants in answer to the hon. Gentleman last month, and I have nothing to add to what I then said.

Mr. Hall-Davis

Will the Minister of State discuss with his right hon. Friend and the Chancellor of the Exchequer the making of a comprehensive policy statement by the Government about their attitude towards stimulating investment, as every hoped for increase in industrial investment appears to be frustrated before it occurs?

Mr. Dell

We have every expectation of an increase in industrial investment this year. There are already substantial incentives to manufacturing investment which compare favourably with those available anywhere else in the world.

28. Mr. J. H. Osborn

asked the President of the Board of Trade what has been the value of investment overseas by British manufacturers, and of investment by overseas manufacturers in the United Kingdom in 1968, respectively; how this trend differs from previous years; and what he estimates will be the position in 1969.

Mr. Dell

I would refer the hon. Member to the Answer which was given to him yesterday by my right hon. Friend the Financial Secretary to the Treasury.

Mr. Osborn

Further, as successive measures introduced by the Chancellor of the Exchequer over the years have made such a poor return on investment at home inevitable, and in view of the Reddaway Report, what steps will the Minister take to encourage British investment overseas? Secondly, is he encouraging American investment in this country?

Mr. Dell

On the latter part of the supplementary question, the hon. Gentleman will know that inward investment in this country has been very high this year. On the first part, he will, again, know that there are certain criteria against which overseas investment is judged. If it meets those criteria it is permitted. Nevertheless, as the Reddaway Report shows, overseas investment can mean a serious cost to the balance of payments which outweighs its benefits.