§ The Prime Minister (Mr. James Callaghan)I met representatives of the CBI when I took the chair at a meeting of the NEDC yesterday. Further meetings will be arranged as necessary.
§ Mr. NobleIs my right hon. Friend aware that many employers, trade 685 unionists and Labour Members are pleased with his firm stance, so far, on the temporary employment subsidy? In view of the intransigence of the European Commission on this issue and its wish to see TES replaced, for certain sensitive industries, by a less acceptable scheme, does he agree that we need a high-level political initiative to ensure that the temporary employment subsidy remains and is passed on to other workers in sensitive industries in the rest of the Community?
§ The Prime MinisterI am grateful for the way in which my hon. Friend pursues this important matter. My right hon. Friend the Secretary of State for Employment made a considered statement on the matter in the debate on Monday. As for future negotiations, I shall consider with my right hon. Friend whether the matter should be raised to a political level, but that time has not yet arrived. Our major objective is to preserve these jobs.
§ Mrs. ThatcherHas the Prime Minister discussed with the CBI or with the NEDC how many jobs are threatened by his blacklist policy, or does he still maintain that it is a figment of the imagination?
§ The Prime MinisterThis matter was not raised by representatives of the CBI when I met them yesterday, and I did not raise it. In view of the small number of companies that have been referred to in the newspapers, out of the 600,000 companies that are active, it was probably thought not worth while to discuss it at that point.
§ Mrs. ThatcherThe Prime Minister admits that there is a black list. What is the authority for that black list, in view of the fact that there is a non-statutory incomes policy?
§ The Prime MinisterI did not admit that there was a black list. [HON. MEMBERS: "Oh."] The right hon. Lady puts words into my mouth. All that is completely and fully known is that there is a group of firms to which this matter has been put. Representatives of the Conservative Front Bench are apparently engaged in a dispute with the Department of Trade about that matter.
§ Mrs. ThatcherThe Prime Minister has given his usual slippery reply. [Inter 686 ruption.] Is there or is there not a black list, and how many firms are on it?
§ The Prime MinisterI did not discuss this matter with the CBI. [HON. MEMBERS: "Answer."] If the right hon. Lady wants an answer to that question, there is a perfectly good way of getting it. She can table a Question to the Secretary of State for Trade or, if she would not be satisfied with a reply from him, there is the usual convention of putting a specific Question to me by notice. I shall then be very happy to give her any figures that exist on this matter.
§ Mr. William HamiltonHas my right hon. Friend yet discussed with the CBI the recent pamphlet entitled "Britain means Business", which indicates that the Confederation wants substantial cuts in public expenditure amounting to 38 per cent. of GDP by 1981–1982, including massive reductions in housing and transport subsidies? Will he say what that would mean in increased rents and fares, not forgetting increased employment?
§ The Prime MinisterI would not like to give figures offhand, without preparation, but I notice that there has been this demand for a reduction in the standard rate of tax. If the Opposition policy of abolishing rates were carried out, we would find not a reduction in the rate of tax but a substantial increase.