INTERMEDIATE AREAS (Hansard, 5 November 1970)

§ Q3. Mr. Arthur Davidson
asked the Prime Minister whether he will pay an official visit to the intermediate areas.

§ Q4. Mr. Marquand
asked the Prime Minister what plans he has to visit the intermediate areas.

§ The Prime Minister
I have no plans at present to make official visits to these areas.

§ Mr. Davidson
I am not entirely surprised at the Prime Minister's Answer. Has he seen the report in the Guardian today to the effect that the Confederation of British Industry, at yesterday's meeting of the N.E.D.C., expressed great concern at the effects that the Government's measures would have on the regions? Would he study that report carefully?

§ The Prime Minister
Yes, of course I will study the report. What I think that the Government should do is study very carefully the discussion in the N.E.D.C., because this is the purpose of the discussions that we carry on with both sides of industry.

§ Mr. Marquand
To attract new industry into the intermediate areas, is it not necessary not only to have financial inducements, to which the Prime Minister referred earlier, but also to have the stick of an effective I.D.C. policy in the prosperous areas of the country? Is the Prime Minister aware that there is a good deal of anxiety in the Erewash Valley intermediate area because in all the plethora of statements we have had from Ministers in the last ten days there has been no mention of I.D.C. policy in the rest of the country? Will he assure the House that the I.D.C. policies applied under the previous Government will continue to be operated by his Administration?

§ The Prime Minister
I have always emphasised that the two aspects of policy 1257 for regional development must go together, and the I.D.C. policy is an essential element in it. I have emphasised also that there must be a degree of flexibility in using this policy, so that we do not create a situation in which firms which cannot move away to expand just do not expand, because that does no one any good.

§ Mr. Waddington
Although I do not feel that the existing incentives in the intermediate areas have proved very potent, may I ask my right hon. Friend whether he recognises that there is some doubt now as to the precise nature of all the incentives which will in future be available to intermediate areas? Will he ask his right hon. Friend to make a statement about this matter as soon as possible?

§ The Prime Minister
If it is required for the convenience of the House, I shall consider that. I understand my hon. Friend to suggest also that there should be a reissuing of information to firms in these areas regarding what inducements are available. If that is required, we shall be willing to consider it as well.

§ Mr. Edwin Wainwright
Will the Prime Minister take it that in the Yorkshire coal-mining area there is tremendous dissatisfaction at the lack of decision by his Government regarding intermediate areas, and will he as soon as possible give some hope to that area to make certain that investors and industrialists can provide the employment which ought to be there, and which would be going there except for the change of Government?

§ The Prime Minister
There has been no lack of decision. Obviously, we had to review the question of what was available for the intermediate areas as well as the development areas, and the conclusions were made available to the House at the first opportunity when we returned after the recess.