HC Deb 25 May 1978 vol 950 cc1734-5
8. Mr. Litterick

asked the Chancellor of the Exchequer what measures he has in hand to regenerate the West Midlands economy.

Mr. Joel Barnett

The West Midlands should share in the general improvement of the national economy.

Mr. Litterick

In the light of the generous financial support which the House and the Government have proposed to regenerate British Leyland, is my right hon. Friend aware that on all predictions the West Midlands economy is continuing and, apparently, will continue to lose jobs, as a result of such events as the closure by Cadbury Schweppes of an important factory in Birmingham and the policy of the Lucas organisation to transfer productive resources from the West Midlands to Western Europe? Does my right hon. Friend agree that these events call for a much more positive policy of intervention beyond the repertoire of inducements and so forth which are at present available, since major industries such as machine tools are still in decline in the West Midlands economy?

Mr. Barnett

As my hon. Friend has recognised, the Government have provided considerable support for companies in the West Midlands, especially for the sector to which he referred, for the machine tool industry, for Alfred Herbert, and for British Leyland. It is fortunate that the present Government have responsibility in this matter, since, if it had been left to the Conservatives, many of my hon. Friend's constituents and others in the West Midlands would not now be employed.