HC Deb 01 March 1976 vol 906 cc906-7
15. Mr. Madden

asked the Secretary of State for Industry when he expects to authorise further grants under the Wool Textile Scheme.

Mr. Carmichael

Under the current scheme for the wool textile industry applicants have two more years, until 31st December 1977, to complete projects that have been approved, and grants will continue to be paid as projects progress. As already announced, the sum set aside for the scheme has been increaed from £15 million to £18 million. The Economic Development Committee proposed a further scheme of support under the Industry Act on 4th February 1976, and this is now being considered.

Mr. Madden

Does the Minister agree that any further extension of this scheme will outlaw the provision under which funds are available for firms that close plants, thereby making thousands of textile workers unemployed and throwing them on the scrap heap, with their smashed machines? When will the Department start to prepare a proper plan for the textile industry, based on providing decent employment and combating unfair competition, so providing the industry with a future?

Mr. Carmichael

The recent discussions with the Wool Textiles EDC had this point very much in mind, including the question of imports. Although the demand for wool textiles, particularly in the export markets, shows signs of picking up, the industry needs to improve productivity to be competitive. It is therefore impossible to rule out the possibility of further redundancies.