§ Mr. MillanI beg to move Amendment No. 5, in page 2, line 25, leave out 'and' and insert—
'(bb) the promotion of industrial efficiency and international competitiveness; and'.This matter was discussed in Committee, where I was asked, in connection with an amendment which I believe was worded in a sightly different way from this one why I did not include words about industrial efficiency, international competitiveness and the rest, because these were words already in the Industry Bill and in the Welsh Development Agency Bill. I made the point then which I think in principle is right; namely, that there was no reason why the wording of our Bill should follow the Welsh Bill or the Industry Bill or that the wording of those Bills should follow our Bill. I said that we should maintain a certain independence in the matter. That is certainly true in principle, and it applies to other parts of the Bill in practical terms, but, having looked at the wording of this clause again, it seemed to me that it might be misunderstood if these words were not in the Scottish Bill but were in the Welsh Bill and the Industry Bill.It might be thought, however unfairly and unjustifiably, that we were not concerned about promoting industrial efficiency and competitiveness in an interna- 382 tional way. It was to avoid such misunderstanding that it seemed to me, on balance, that it was better that these words should be put into the Bill. Those who served on the Committee will welcome this amendment.
§ Amendment agreed to.
§ Mr. MillanI beg to move Amendment No. 6, in page 3, line 16, leave out 'subsection (5)' and insert 'subsections (5) and (6)'.
This is a drafting amendment consequential on another amendment made in Committee. The consequential drafting amendment was not made at that time, but it is now made by the amendment.
§ Amendment agreed to.
§ 10.30 p.m.
§ Mr. William RossI beg to move Amendment No. 7, in page 3, line 39, at end insert—
'(4A) The functions of the Agency mentioned in subsection (2)(b) above may only be exercised through a company within the meaning of the Companies Act 1948 or through a partnership firm.'.Since the Committee stage we have reflected as to whether it would be desirable and appropriate to put some more words into the Bill which would clarify our intentions with regard to the Agency's industrial investment functions under Clause 2(2)(b). As a result, I commend the amendment to the House. It provides that, in performing its industrial investment functions under Clause 2(2)(b), the Agency is required to operate through a company within the meaning of the Companies Act or through a partnership firm. It will mean that any company set up by the Agency, whether wholly- or partially-owned, will be subject to the same rules of conduct and the same liabilities as are private companies. They will be regulated by the City code and by all the legislation which governs commercial trading activities. This meets the point which was raised in Committee and is a useful clarification.
§ Mr. Buchanan-SmithI welcome the amendment, which covers points such as auditing to which I will return.
§ Amendment agreed to.