§ Q7. Mr. Duffyasked the Prime Minister if he is satisfied with the co-ordination between the Department of Trade and Industry and the Department of Employment over problems arising from unemployment in Sheffield.
§ The Prime MinisterYes, Sir.
§ Mr. DuffyDoes the Prime Minister recall yesterday's report by Lord Melchett in which he feared that the deficit of the British Steel Corporation may reach £100 million in 1971, and referred to plant closures and other forms of cost saving? Will the right hon. Gentleman accept that, in the event of accelerated plant closures, Sheffield is especially vulnerable and local workers are, therefore, extremely worried? 781 Will the Prime Minister say how far this is borne out by his correspondence?
§ The Prime MinisterI agree with the hon. Gentleman that this is a most important matter. It is one which, of course, rests with the British Steel Corporation for decision. I have not had a large number of letters about this, but that does not in any way lessen its importance. I think the hon. Gentleman will accept that during the debates on the creation of the British Steel Corporation great emphasis was put on the need for the Corporation to rationalise the steel industry and to make it effective in competition with Europe, America and Japan. I do not think, therefore, that in these very difficult problems one can interfere with the Corporation's approach to rationalisation.