HC Deb 28 October 1975 vol 898 cc1290-4
Q4. Mr. Tom Ellis

asked the Prime Minister if he is satisfied that there is adequate co-ordination between the Foreign Office and the Welsh Office in respect of the European Regional Development Fund.

The Prime Minister

Yes, Sir.

Mr. Ellis

In view of the relative failure of a succession of regional development policies over 40 years—it is relative failure if one considers the demographic trend—and in order to obtain a truly European regional development, does my right hon. Friend agree that it is essential to mobilise and develop the political will which exists in the region and, therefore, that it is important not only to establish an elected Assembly—important though that is—but to ensure that existing institutions, such as local authorities, for example, have direct access to the European fund's administrators?

The Prime Minister

I agree with my hon. Friend about the need to mobilise all the resources of Wales—material, human and labour resources. He will be aware that several of my right hon. Friends and I had an important meeting with the Welsh TUC, in which were raised many of the questions which I know are in his mind. We have now sent the Welsh TUC further information, and discussions will be continued by my right hon. and learned Friend the Secretary of State. I agree with my hon. Friend—as in Scotland, so in Wales. An important contribution to what he and all of us have in mind is not only pushing on with the White Paper but turning it into reality.

Mr. Thorpe

In the context of Wales and the rest of the United Kingdom, do the Government regard money from the European Regional Development Fund as being in addition to the amount of money that the Government would have spent, or in substitution for it? Is the Prime Minister aware that a previous answer we have had on this matter is not clear?

The Prime Minister

When European funds are used for projects which would otherwise have been supported by the Exchequer, funds are freed to enable us to support regional development in other ways; for example, through the advance factory programme recently announced by my right hon. Friend the Secretary of State. Had it not been for the European contribution it would have been much more difficult for us to devote money to a project such as that.

Mr. Wyn Roberts

Will the Prime Minister either confirm or deny a report in the Economist that, whereas Italy, Ireland and France were quick off the mark in applying to the Regional Development Fund, we were rather late in applying and, as a result. Italy received £36.2 million whereas the United Kingdom received only £8.8 million?

The Prime Minister

I have no ministerial responsibility for reports in the Economist, but I would wish to comment on this. It is certainly not true that we were slow off the mark. I recall that during the referendum campaign many accusations were made, which have since been falsified, that there was a speeding up of regional aid from the Community until, it was suggested, 4th June. Those accusations have since been disproved by the substantial increases in regional disbursement, certainly to Wales—of which I gave figures to the Welsh TUC—and to other parts of the United Kingdom in need of regional development.

Mr. Speaker

Mr. Mendelson.

Mrs. Kellett-Bowman

On a point of order, Mr. Speaker.

Mr. Speaker

Order. I hope that the hon. Lady will not pursue her point of order. I intend to call her for a supplementary question after the hon. Member for Penistone (Mr. Mendelson).

Mrs. Kellett-Bowman

I want to raise a point of order, Mr. Speaker.

Mr. Speaker

By doing so the hon. Lady may lose her chance to ask a supplementary question. I deprecate points of order at Question Time. As I said, I shall call her for a supplementary question after the hon. Member for Penistone.

Mr. Mendelson

With reference to the availability of funds for regional development, has the Prime Minister noticed a recent unfortunate development, in that certain members of the EEC have refused to make available additional sums on the ground, well-argued during the referendum campaign, that the excesses of the common agricultural policy demand larger and larger sums for useless policies, with the result that regional policies suffer? Will my right hon. Friend join forces with those Governments in putting a stop to the wasteful policies being pursued under the heading of the common agricultural policy?

The Prime Minister

That does not arise out of a Question about Wales. I agree with my hon. Friend that it is an important matter, but it raises wider issues, on which my right hon. Friend the Secretary of State for Foreign and Commonwealth Affairs has answered Questions. I go along with any proposal, from wherever it comes, to eliminate waste in the expenditure of EEC funds, as, I am sure, does the House. My hon. Friend will have seen the initiative I took and the proposals I made in the European Assembly on the introduction of a system approaching our own Public Accounts Committee in the financial mechanism of the EEC.

Mrs. Kellett-Bowman

Is the Prime Minister aware that local authorities in England are concerned about the lack of information on the criteria used by the Government when submitting schemes to Europe for assistance from the Regional Development Fund? Is the right hon. Gentleman aware that in Lancaster, which has an unemployment rate of 7.3 per cent. and an employment job vacancy ratio of 41.4 per cent., much help is required? Is he further aware that the answer he has just given to the House is inaccurate, in that the United Kingdom was behind Italy, Ireland and France in its application? That information was given to us in Europe last week, and we were told that we could use it.

The Prime Minister

I am aware of the hon. Lady's concern, not only for European questions but for the area which she represents. The Question relates to Welsh matters. If the matters raised by the hon. Lady are raised at Question Time with my right hon. Friend the Foreign and Commonwealth Secretary, I am sure that she will be satisfied with the answer.

Mrs. Kellett-Bowman

The right hon. Gentleman's answer was wrong.

Mr. Speaker

I am sorry about the acoustics. I seem to be able to hear everyone except the person who is speaking from the Treasury Bench. Whether or not that is an advantage, I do not know; it is not for me to say. I shall try to have the matter put right.

Mr. Atkinson

On a point of order, Mr. Speaker. If whoever is addressing the House from the Dispatch Box would move three yards to the left, everyone would hear. I am sure that the Prime Minister is sufficiently flexible to be able to address the House from that position.

The Prime Minister

Further to that point of order, Mr. Speaker. Some of us learnt to speak in public in the days before microphones. I know how anxious are Opposition Members always to hear what I have to say. That is why they barrack so much. If this mechanical defect occurs again, I hope that I shall be in order in standing on this Bench and addressing the House.