HC Deb 15 November 1971 vol 826 cc11-2
11. Mr. Douglas

asked the Secretary of State for Trade and Industry if he will make a statement of his Department's policy for the shipbuilding industry.

Mr. John Davies

The Government's aim is to promote an efficient and competitive industry.

Mr. Douglas

Will the Secretary of State recognise that on the Upper Clyde there is still some uncertainty regarding the future of the whole industry, and will he give some assurance or some indications of his willingness to embark on development contracts for the production of natural gas carriers?

Mr. Davies

If proposals for the construction of such vessels come before me, as I have mentioned to the House before, I will take them very much into sympathetic consideration, but at the moment, as the hon. Member knows, a number of industrial considerations are being pursued in relation to the Upper Clyde area and some of these, I hope, will prove to be highly successful.

Mr. Edward Taylor

Can the Secretary of State say whether any progress has been made in international discussions which he has been having on the elimination of competitive subsidising by foreign shipbuilding companies?

Mr. Davies

There have been discussions about that by which my Department has been trying to rationalise what has been an over-susidised area, but these have not as yet reached a position at which I can report to the House.

Mr. Benn

Will the right hon. Gentleman tell the House whether his own Department intends to take on board the work of the S.I.B.—not the funding work, but the work done in its reports recently published on management practice and accountancy practice, and which clearly have value for the industry because they arose from discussions with the industry?

Mr. Davies

Yes. It is not at all to be inferred from the disappearance of the S.I.B. that its very valuable work, done in the course of its life, will be completely put aside. On the contrary, it will be retained.