§ 9. Mr. Tim Rentonasked the Secretary of State for Industry what encouragement he proposes to give to small privately-owned businesses with export potential as part of his new industrial strategy.
§ Mr. Gregor MackenzieThe new industrial strategy is concerned with the well-being of industry as a whole, and policies for individual sectors which are devised within its framework will take account of the part to be played by firms of all sizes. Smaller enterprises will benefit from this approach as much as large companies.
§ Mr. RentonDoes the Minister accept that a sizeable sum of capital is needed for a small company to invest in developing new export markets? Against a background of crippling rates of personal taxation, CTT and wealth tax, what incentive exists for the small company to undertake that sort of expenditure now? Will the Minister consider the examples of both Ireland and Australia in terms of the whole question of export incentives?
§ Mr. MackenzieThe points that the hon. Gentleman made about taxation are often made in this House. These comments have been noted by my right hon. Friend the Chancellor and appropriate action has been taken on them from time to time. My concern as a Minister in the Department of Industry is to ensure that 1237 small companies which can benefit from export services can be helped. Indeed, the small firms information centres and the Department of Trade help small companies, where they can, with their export drives.
§ Mr. Frank AllaunWill my hon. Friend have a word with his right hon. Friend the President of the Board of Trade about this matter? What small firms engaged in export want is greater help from the ECGD—help that goes to the bigger firms at present but not to the smaller firms, which nevertheless employ many thousands of engineers and others whose jobs are at stake.
§ Mr. MackenzieI shall pass my hon. Friend's comments on to my right hon. Friend the President of the Board of Trade, because we are conscious of the important rôle that many small firms play in the export drive.
§ Mr. WarrenDoes the Minister accept that although he may be conscious of the problem he is not doing enough about it? The real problem is that many small private businesses are being forced into bankruptcy because of the inaction of his Department and this Government. Why does he not speed up the work of the Requirements Boards to help these people develop their export potential?
§ Mr. MackenzieA great deal of work is done to help small firms by the Requirements Boards, the small firms information centres, the counselling services and other services where we have direct responsibility.