§ 23. Mr. Wigleyasked the Secretary of State for Industry what has been the total expenditure on industrial development in the development areas under the Industry Act 1972 for each financial year since its coming into force.
§ Mr. CryerExpenditure on industrial development in the assisted areas under the Industry Act 1972 has been as follows: in 1972–73, £9 million; 1973–74, £133 million; 1974–75, £250 million; and 1975–76, £390 million. Separate figures for the development areas are not readily available. Regional assistance only is included. Assistance provided under sectoral or industry schemes is excluded since separate figures for the assisted areas are not readily available. Regional assistance under other legislation is excluded.
§ Mr. WigleyGiven the effects of inflation over this period, and the fact that it took from 18 months to two years for the information to work through into actual expenditure, would the Minister accept that there has been a loss of momentum in the policy of moving industry to development areas and that that has been accentuated by the Government's decision to do away with the regional employment premium? Will he now say whether the Government have any new schemes for attracting industry to development areas?
§ Mr. CryerI reject the idea that the momentum of assistance to the regions has slowed down. That is far from being the case. If the hon. Gentleman was present to hear the Chancellor of the Exchequer's Budget announcement, he will know that some new schemes were announced then.
The Government are constantly reviewing the position and have also, as Question Time has demonstrated, received representations about areas outside the assisted areas. That is one reason why the temporary employment subsidy has been extended over the whole country and REP has been withdrawn. It is a difficult judgement to make, but I can assure the hon. Gentleman and the House that the Government are much concerned to give the regions the assistance they need.
§ Mr. Wyn RobertsWhat estimates have the Government made of the value of grants under the Industry Act as compared with the value of other forms of support for employment?
§ Mr. CryerThere is constant examination of the many schemes under the various legislation. It is not only my Department that is responsible. The Department of Employment is responsible for the administration of such schemes as TES. A good deal of liason and consultation goes on. What is very clear is that, if it were not for the massive amounts of assistance which the Government have given, we would have lost jobs at a considerable rate. That has kept the predominant economic system—private enterprise capitalism—afloat.