§ 17. Dr. John A. Cunninghamasked the Secretary of State for Trade and Industry if he will list the changes in policy in the control of industrial development certificates since June, 1970, and confirm that priority is still being given to development and intermediate areas.
§ Mr. Anthony GrantThe I.D.C. control has continued to be an essential part of the Government's regional policy measures; and the priority it gives to the development and intermediate areas remains unchanged.
§ Dr. CunninghamWould the hon. Gentleman now either confirm or deny that his Department has issued two certificates to Kodak and Hoechst in respect of developments at Milton Keynes New Town, which will provide some 5,000 new jobs? How can he reconcile those decisions with the fact that, in the Northern Region to date this year, some 80 I.D.C.s have provided only 4,500 new jobs, bearing in mind that, in the Northern Region. 20 men are at present chasing each vacancy?
§ Mr. GrantI am not prepared to discuss individual I.D.C. cases on the Floor of the House. But I would draw the hon. Member's attention to the article in Trade and Industry on 8th July, in which we set out quite clearly how we operate I.D.C.s. I assure the hon. Member that priority is given to the development and intermediate areas, although we look very sympathetically at overspill towns and new towns.
§ Mr. Kenneth LewisIs my hon. Friend aware that the situation which has arisen makes it very difficult to know what is an intermediate area and what is not? Would he bear in mind that there are many places in which people are asking for I.D.C.s for very minor extensions of factories, to create small amounts of employment? It does not make sense, in the present high unemployment which has spread around the country, that they should be refused in these cases.
§ Mr. GrantIf my hon. Friend has a specific case in mind, I should be delighted to discuss it with him. Broadly, we try to operate a flexible policy, while nevertheless giving priority to these areas, which are fairly well understood.
§ Mr. VarleyWhat will our possible entry of the E.E.C. mean for I.D.C. control? Can the Minister confirm that the provision in the Treaty of Rome for the free movement of capital would mean that, for example, if a firm were to be refused an I.D.C. for a project in the South-East, it could move it to the Continent and the Government could do nothing to stop it? What study has been made of this?
§ Mr. GrantI think that they can do it already. The Government are satisfied that the I.D.C. control is compatible with the Treaty of Rome, and it will be continued after Britain has joined the Common Market.