HC Deb 07 August 1972 vol 842 cc1249-51
32. Mr Arthur Lewis

asked the Secretary of State for Trade and Industry whether he will give for the latest and most convenient stated date the number of registered companies which have failed to remit their returns as laid down under the Companies Act; and whether he will classify these in such a way as to show how many of such companies are in arrears with such returns for periods between six months and 12 months, 12 months and 18 months, 18 months and two years and more than two years.

Mr. Noble

Until the process of computerising these records, which is now under way, is complete, it will not be possible to answer this Question without disproportionate cost.

Mr. Lewis

Is the right hon. Gentleman aware that that proves that there must be so many hundreds of these cases that his Department cannot find them without disproportionate time and effort? If that is so, why are these people allowed continually to break the law year after year, whereas when it comes to the dockers within a matter of hours the full majesty of the law is set in train and every action is taken? Will the right hon. Gentleman take action to ensure that the law is enforced against these lawbreakers?

Mr. Noble

I heard that argument early one morning last week.

Mr. Lewis

The right hon. Gentleman will hear it again on the Motion for the Adjournment.

Mr. Noble

The hon. Gentleman has, as I said then, my sympathy in that this is an enormous problem. It has been building up over the years.

Mr. Lewis

Do something about it.

Mr. Noble

We are at present, as I have said to the hon. Gentleman, computerising the whole of this information. It will, on the rate being developed at present, take a year to complete. [Laughter.] The hon. Gentleman laughs but detailed information about ½ million companies cannot be collected in a few minutes—[Interruption.] I am trying to help the hon. Gentleman and to give him the information he seeks. Last year we sent out 130,000 reminders to companies which were, for one reason or another, late. This is a very considerable effort on the part of the staff, and the process will be quicker when it is computerised.

Mr. Benn

The right hon. Gentleman has accidently answered part of the question: he has shown that 100,000 firms are in arrears, or questions would not have been sent to them. He has a statutory obligation to Parliament to give the House information about companies which have not filed their returns. If the information is being computerised, that is a mechanical matter and does not in any way alter the fact that the right hon. Gentleman's Department has the responsibility to keep the House informed about this matter.

Mr. Noble

The right hon. Gentleman is absolutely wrong. I did not give the hon. Member for West Ham, North (Mr. Arthur Lewis) the answer by mistake. I gave it to him on purpose. I said that 130,000 firms had had reminders that they were late. What I cannot do is answer the hon. Gentleman's Question, which covers an enormous range far beyond the number. This could not be done on the information which at present exists. I am trying to improve the situation as fast as is humanly possible. As the hon. Gentleman had the courtesy to say, this has been building up over the years.

Mr. Blaker

Has my right hon. Friend any information about what the position was in this respect in June, 1970?

Mr. Noble

Approximately the same number of companies and exactly the same action was taken.

Mr. Lewis

On a point of order, Mr. Speaker. Like my hon. Friend the Member for Manchester, Ardwick (Mr. Kaufman), I will try to raise this matter when opposing the Motion for the Adjournment for the Summer Recess.

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