HC Deb 04 November 1974 vol 880 cc665-6
4. Mr. Gwilym Roberts

asked the Sectary of State for Industry what study he has made of the effectiveness of regional development policies; and what additional steps he plans to take to attract industry to areas like the Cannock Chase which have a high level of unemployment but lie outside development and intermediate areas.

The Under-Secretary of State for Industry (Mr. Gregor Mackenzie)

The effectiveness of regional policies is the subject of continuing study by my Department. It is the Government's policy to aim for a high level of activity and employment throughout the country.

Mr. Roberts

Does my hon. Friend agree that, although the environmental advantages of having blanket-type regional policies are obvious, it is doubt- ful whether the industrial advantages are as great? Does he not accept that they provide special problems for areas such as Cannock Chase, which, although they lie in the West Midlands, have more of the industrial characteristics of Durham or South Wales and which are treated in a Cinderella fashion? Will my hon. Friend look at this carefully to see whether additional help can be provided for such areas?

Mr. Mackenzie

I do not feel that I can accept all that my hon. Friend says, no matter how sincerely he puts it, and I assure him that the concern expressed recently about the economic situation in the West Midlands has been noted. The Government will keep a close watch on the position, but there is no justification for a change in our regional policies at present.

Mrs. Kellett-Bowman

Will the hon. Gentleman accept that the more he increases incentives in development and special development areas, the more difficult it becomes for intermediate and other areas closely adjoining those areas? Will he consider making the boundaries of such areas much more flexible than they are at present?

Mr. Mackenzie

The boundaries are flexible. Only a few weeks ago we enlarged some of the boundaries, but should there be any difficulty in any area it will be noted by the Department and appropriate changes will be made.