HC Deb 11 November 1974 vol 881 cc24-6
30. Mr. Spriggs

asked the Secretary of State for Industry how many trade unions and industries have made representations to his Department for advice or assistance since he took office; and how many he estimates he has been able to save from either bankruptcy or closure during that period.

The Under-Secretary of State for Industry (Mr. Michael Meacher)

My Department keeps in close touch with both trade unions and management, and no statistics are kept on the number of representations received. Since 1st March 1974, financial assistance under Section 7 and Section 8 of the Industry Act has been offered in 16 cases for the purposes of maintaining employment.

Mr. Spriggs

I regret that statistics have not been kept. I appreciate that part of my hon. Friend's reply, but would he consider the problems of industry in industrial towns such as St. Helens, where the glass industry is having to make hundreds of workers redundant, whereas at the same time British industries are importing commodities such as glass and other essential raw materials? Could not the production of our workers here be utilised by firms such as British Leyland Motors which are using foreign glass for the vehicles which they are selling here and overseas?

Mr. Meacher

I appreciate the problems to which my hon. Friend refers, particularly those concerning Pilkinton at St. Helens. The basic problem results from the fall in demand in the domestic market following the sudden reintroduction of hire-purchase and rental controls in the Budget of last December. I cannot anticipate anything in that respect that my right hon. Friend the Chancellor may say on the subject tomorrow. With regard to providing alternative employment in the event of certain redundancies—I point out to my hon. Friend that there are several alternative glass projects now in hand—the regional office of my Department will be willing to look very carefully at any applications for Section 7 assistance.

Mr. Kenneth Lewis

Has the hon. Gentleman had any request for advice or help from Mr. Scanlon? Has he noticed that Mr. Scanlon is apparently an unconscionably bad employer? He has given himself a rise, he is not prepared to concede a rise to his employees, and he does not even give them a tea break. Has the Minister received any request from Mr. Scanlon on how to run his own office?

Mr. Meacher

We have not had any such request, nor is it expected, and that supplementary question has nothing to do with the Question.

Mr. Hal Miller

Does the Minister accept that the offer of financial assistance to the Meriden co-operative has threatened the jobs in Wolverhampton and Birmingham of those employed in NVT?

Mr. Meacher

It certainly is not the case, because, although assistance has been given to the Meriden co-operative it is also the case with NVT that £8 million out of a total of £12 million required of the guarantee for NVT's export stock will be provided under Section 8. We have been very careful that the assistance given to Meriden will in no way impinge on the employment prospects of that company elsewhere.

Mr. Heseltine

Can the Minister tell us when the Meriden co-operative will start production?

Mr. Meacher

The Government, as the hon. Gentleman ought to know, have agreed to give assistance of £4,950,000 in grant and loan on a once-for-all basis to set up the co-operative at Meriden, which would otherwise have been closed under the plans to rationalise motor cycle production at Norton Villiers Triumph. We look forward to the beginning of operations at the Meriden co-operative in the near future.

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