HC Deb 23 May 1972 vol 837 cc1216-8
Q1. Mr. Douglas

asked the Prime Minister if he will make a statement on his meeting with the Scottish Council (Development and Industry) on 12th May, 1972.

The Prime Minister (Mr. Edward Heath)

Together with my right hon. Friends the Secretaries of State for Scotland and for Trade and Industry and my noble Friend the Minister of State, Scottish Office, I met representatives of the Scottish Council in Edinburgh on 12th May.

We carried forward our examination of the Scottish economy, and of the opportunities for industrial growth in Scotland, in the light of the Budget and of the White Paper on Industrial and Regional Development, Cmnd. 4942. The Council representatives acknowledged that many of the proposals which they had put forward at our previous meeting in January were reflected in subsequent Government measures.

Mr. Douglas

I thank the right hon. Gentleman for that reply. Did the Scottish Council raise the possibility of extending refinery capacity in Scotland in view of the North Sea oil discoveres? Also, did it raise the very urgent position of the steel industry in Scotland and, in particular, Scotland's capacity to continue making crude steel?

The Prime Minister

The Scottish Council discussed the question of refinery capacity in Scotland, but it expressed itself as satisfied with the new arrangement which we have had since our January meeting, whereby a standing conference of Scottish interests under the Under-Secretary of State for Development brings together all those concerned with oil developments in Scotland, and refinery capacity is one aspect of that.

The Scottish Council asked that the British Steel Corporation's proposals should be brought forward as early as possible and that a final decision should be taken on them. It asked that it should be able to make its views known to the BSC.

Mr. Edward Taylor

Was my right non Friend able to confirm to the Scot- tish Council that a final decision has not been made about the vital Hunterston steel works project in the West of Scotland? Was the delegation encouraged by the dramatic reduction in Scottish unemployment of 16,000, which is more than the average for the United Kingdom?

The Prime Minister

Certainly, it is much encouraged by the present trend of unemployment in Scotland in that there has been a decrease of 16,000, which is proportionately greater than the decrease for the rest of the country. It was made absolutely plain to the Council that no decisions have been taken about the location of steel plant, and that any reports to the contrary were quite incorrect.

Mr. David Steel

Can the right hon. Gentleman say whether the Oceanspan proposals, on which Lord Polwarth was particularly keen, were further considered? Does the right hon. Gentleman agree that this matter is particularly important in view of our entry into the Common Market?

The Prime Minister

I agree about its importance. We discussed this matter very fully at the January meeting, but not very much further when we met in Edinburgh.