HC Deb 25 April 1977 vol 930 cc711-2
17. Mr. Michael Marshall

asked the Secretary of State for Industry when he expects to lay before Parliament proposals to increase the borrowing limits laid down in the Iron and Steel (Amendment) Act 1976.

Mr. Les Huckfield

My right hon. Friend expects to do so before the Summer Recess.

Mr. Marshall

Will the Minister accept that his answer shows that the British Steel Corporation's borrowing is now being accelerated at a rate far beyond that expected when we debated the order last year? Will he accept that the increase in borrowing powers from £300 million in 1972 to a figure of £4,000 million, which he now says will soon be exceeded, shows an alarming increase in indebtedness? Will the Minister also confirm that that increasing indebtedness follows from the two-year delay over the Port Talbot and Shotton decision, which has in itself taken place within a £3,000 million to £6,000 million total expenditure increase for BSC? Finally, what does the Minister intend to do to reduce this indebtedness and remove ministerial delay, which no other steel company in the world has to face?

Mr. Huckfield

I thought that the hon. Gentleman knew more about the steel industry than that. He ought to know that all steel industries throughout the Community are going through a period of depression and reduction in orders. He ought also to know that last year the British Steel Corporation more than halved the loss of the previous year, increased its production, increased its product-tons delivered and made a substantial contribution towards recovery. The Corporation's performance is not helped by the sort of misrepresentation just perpetrated by the hon. Gentleman.