HC Deb 10 June 1974 vol 874 cc1210-1
8. Mr. Michael Morris

asked the Secretary of State for Trade what estimate has been made of the effect on the balance of trade of recent Government measures discouraging foreign firms from establishing themselves in Great Brittain.

Mr. Shore

The Government have taken no measures to discourage foreign firms from establishing themselves in Great Britain.

Mr. Morris

Is not the right hon. Gentleman aware of what was in the Budget? That was an extraordinary statement when, in fact, there are international companies which feel that the Budget acted against them—and I shall be happy to provide the right hon. Gentleman with a full list. In the light of the views of these companies, will he now listen to representations and, if he then thinks that the companies are adversely affected, will he consider alternative proposals and make amendments in the autumn Budget, to which we all look forward?

Mr. Shore

Naturally, the Government will consider reasonable criticisms, but this matter has been debated in the House on a number of occasions in the context of the Finance Bill, and certain amendments have already been made.

Mrs. Dunwoody

I dissociate myself entirely from the incoherent rubbish mumbled by the hon. Member. However, will my right hon. Friend remember that his Department is responsible for the film industry and that if we lose markets in countries whose nationals have contributed greatly to our cultural life and who have often come here precisely because at home they were subject to political pressures, we shall badly damage our own interests? I hope that my right hon. Friend will impress on his colleagues in the Treasury our fear that we may, unfortunately, lose some of these great opportunities if some provisions in the Finance Bill are not changed.

Mr. Shore

I always listen to my hon. Friend with attention. If there are specific matters affecting the film industry that she thinks should be brought to the attention of myself and my right hon. Friend the Chancellor of the Exchequer, I invite her to make sure that we receive her submissions.

Mr. Heseltine

Does not the right hon. Gentleman understand that if he had defended his actions, at least we should have been able to question them, but that it is far more serious when he does not understand that the Government's actions have harmed our trading position? May I help him? Is he not aware that the dramatic increase in taxation, the threat to withdraw from Europe, and the incredible antics of the Secretary of State for Industry have had the most damaging effects on the prospects for investment in this country by overseas investors?

Mr. Shore

Not for the first time, the hon. Member is talking a lot of nonsense. The plain truth is—

Mr. Heseltine

Look at the investment figures.

Mr. Shore

—that the increase in investment in Britain for last year and the year before shows every sign of continuing in 1974. To date, I have received no information to show that anything we are alleged to be doing is discouraging investment in British industry.

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