§ 22. Mr. Tebbitasked the Secretary of State for the Environment how many building firms went bankrupt in 1969; and what were the general reasons for their failure.
§ Mr. AmeryThe number of bankruptcies in the construction industries in England and Wales in 1969 was 957.
There were 831 bankruptcies in 1968 compared with 599 in 1964.
The House may agree with me that a main reason for this striking increase was the mismanagement of the economy by the previous Administration.
§ Mr. TebbitWould my right hon. Friend announce shortly some measures to assist other firms which are on the edge of bankruptcy?
§ Mr. AmeryI am very glad that my hon. Friend has drawn attention to the marginal cases. In addition to the bankruptcies, there were 295 compulsory liquidations and 355 voluntary liquidations of construction companies in England and Wales during 1969, the first year for which figures are available. We look to the improvement in the management of the economy by the Government to remedy this situation.
§ Mr. CroslandI think that the Minister was surprised by the answer which had been provided for him—or at least by the last sentence of it. However, as he has referred to the relationship between bankruptcies and the management of the economy—and the Government's management does not receive very wide admiration in large parts of the country—would he comment on the fact that the Government have stated that it may be necessary in the interest of carrying out their policy to have more, and not fewer, bankruptcies?
§ Mr. AmeryI was neither surprised nor astonished at the figures. They reflected the judgment which I had made before I saw the statistics of the management of the last Administration. I do not think that there will be an increased number of bankruptcies. But I make this present to the right hon. Gentleman: it will be for him to come back with a suitable Question next year if I am proved wrong.