§ 12. Mr. Ioan Evansasked the Secretary of State for Wales what further action is proposed to encourage the Welsh Development Agency and other Government bodies to create employment opportunities in Wales, particularly the valleys of South Wales; and if he will make a statement.
§ Mr. John MorrisI am in regular touch with the Welsh Development Agency, the Manpower Services Commission and other bodies concerned with the whole range of measures designed to create employment opportunities in Wales. In addition, I shall use to the full my powers under Section 7 of the Industry Act to stimulate further employment. The enhanced Section 7 incentives now available for special development areas will be of particular value to the valleys of South Wales.
§ Mr. EvansDoes my right hon. and learned Friend agree that unemployment remains the perennial problem in Wales, as well as in the rest of Britain? While supporting the excellent work done by the Welsh Development Agency during the first 12 months of its existence, will my right hon. and learned Friend support the call by the Mid-Glamorgan authority in the Principality to have a conference on unemployment to see how the problem can be dealt with? Will he look at the proposals put forward by the TUC in Wales regarding positive employment creation?
§ Mr. MorrisCertainly the WDA, coupled with my own powers under Section 7 of the Industry Act, is a major weapon that we have in order to meet what I would agree with my hon. Friend are unemployment figures that are far too high.
§ Mr. WigleyIs the Secretary of State aware that the WDA has been in existence for two years, and not for 12 months, and that in this time we might have expected it to use many of the powers in 15 the Act? In particular, does not the right hon. and learned Gentleman feel that it should have used its powers to set up public sector ventures and joint ventures very much more than has been done?
§ Mr. MorrisI certainly agree with regard to the period for which the WDA has been in existence. In that time it has increased substantially its factory building. That was not welcomed by some hon. Members in one part of the House. In 1977 the WDA announced 173 new factories, and a number in the constituency of my hon. Friend the Member for Aberdare (Mr. Evans). I think that the number there, in the Cynon Valley, is about nine that have been announced in the course of last year, including a very large one in Hirwaun. But, as regards particular projects, what the WDA has been doing more and more is taking up joint ventures or giving significant loans to companies right across Wales. This has been increasing significantly as the months have gone by. I welcome it very much and give it every encouragement.