HC Deb 12 May 1976 vol 911 cc441-4
11. Mr. Henderson

asked the Secretary of State for Scotland what additional measures he proposes to deal with unemployment in Scotland.

Mr. Millan

The Government have already taken substantial steps to reduce unemployment. In addition to measures to encourage investment and training, we have introduced a recruitment subsidy for school leavers and a job creation programme for which the Chancellor of the Exchequer has recently announced additional funds. So far, these schemes have helped to create or protect over 13,000 jobs in Scotland.

It is now essential that these measures should he reinforced by a continuation of the fight against inflation so that the economic recovery, of which there are now signs, is consolidated and encouraged.

Mr. Henderson

Does not the Secretary of State acknowledge, particularly and somewhat ironically in view of the terms of the Employment Protection Act brought in by his Government, that we now have evidence of further redundancies coming in Scotland over the next few months which will swell the figures and that the news of, for example, the Marathon situation must accentuate this evidence? Is there not a case right now for two measures: first, immediately to increase the budget of the SDA so that it can make an impact on unemployment over the coming months and, secondly. to ensure that there is a fixed preference policy laid down for North Sea oil and gas development whereby Scottish companies are enabled to get the lion's share of the business?

Mr. Millan

There is already a memorandum of understanding with the offshore operators, which is working very well. I have already said that if the SDA, with which I am in close touch, feels that its budget is inadequate it will no doubt ask me for more. It has not done so.

Mr. Buchan

Does my right hon. Friend agree that, despite the hypocrisy of SNP Members, the level of unemployment is totally unacceptable to many Labour Members? Does he further agree that one of the best methods of dealing with it would be to try to persuade SNP Members, particularly their Chief Whip, to cease denigrating the efforts of the Scottish working people in the motor car industry, and that the phrase "Put Scotland First" sounds a little hollow when it is uttered from the driving seat of a Japanese Datsun or a Swedish Volvo?

Mr. Millan

I absolutely agree with my hon. Friend. It is utter hypocrisy for SNP Members to talk about preference for Scottish industry when they themselves buy foreign goods.

Mr. Younger

Is the right hon. Gentleman aware that he is giving the impression that he simply does not know what to do about this level of unemployment? As nearly 3,000 Scots are being put out of work every month by the Government's policies, will he not suggest to his colleagues giving up the idea of nationalising North Sea oil and spending the money on creating Scottish jobs?

Mr. Millan

That is perhaps the most absurd supplementary question that we have had, even from the hon. Gentleman.

Dr. Bray

Is my right hon. Friend aware that the Government's actions have preserved a large number of jobs in Scotland? Is he also aware that we look forward to new jobs being created by the entrepreneurial activities of the SDA? What and how much may we expect in that direction?

Mr. Millan

I am hoping for quite important initiatives from the SDA quite soon now. I ask my hon. Friend to await them. I want to make it absolutely clear that I am not in the least complacent about the Scottish unemployment situation. I have said that the figures are appalling and unacceptable. I stand by that, but we are doing everything possible to reduce the figures.

Mr. Donald Stewart

In spite of the obsessional attitude of the hon. Member for Renfrewshire, West (Mr. Buchan), does the right hon. Gentleman accept that the STUC has said that at a time when there ought to be a decline in unemployment in Scotland it is on the increase, and that the CBI has said that there is no sign of any kind of boom? Will he, therefore, give serious attention to the two points made by my hon. Friend the Member for Aberdeenshire, East (Mr. Henderson)?

Mr. Millan

I think that I have already answered those two points. I know that Opposition Members are very sensitive about the Datsun car—so sensitive, in fact, that the hon. Member for Banff (Mr. Watt) seems to have absconded from here, probably in his Datsun.