HC Deb 25 June 1979 vol 969 cc18-9
22. Mr. Greville Janner

asked the Secretary of State for Industry whether he will take steps to promote industrial development in the East Midlands.

Mr. David Mitchell

The Government are reviewing the assistance at present available to industry. Our policies are, however, designed to create a proper climate in which commerce and industry can flourish, and this will encourage industrial development in the East Midlands, as well as the rest of the country.

Mr. Janner

Does the hon. Gentleman recognise that some of the staple industries of the East Midlands are suffering considerably? Will he take steps to assist them in any way that he can?

Mr. Mitchell

The industrial structure and inherent local industries in the regions will be borne in mind during our current review of regional policy.

Mr. Michael Morris

Does my hon. Friend agree that a great deal of industry in the East Midlands is extremely buoyant? As long as our staple industries can have fair competition, that part of the country does not need special Government help.

Mr. Mitchell

I am grateful for my hon. Friend's robust attitude.

Mr. Allan Roberts

Does the hon. Gentleman agree that as British and overseas capital holders have failed to invest in the regions, in spite of incentives from different Governments, they are hardly likely to invest if those incentives are discontinued?

Mr. Mitchell

The incentives given under the previous Government and the depressing effect of taxation have perhaps inhibited the sort of investment needed to secure growth.

Mr. Les Huckfield

Will the hon. Gentleman bear in mind that, despite what his hon. Friend the Member for Northampton, South (Mr. Morris) said, many firms in the East Midlands benefited from the Industry Act section 8 schemes administered by the last Government? Is he aware that there is a need to continue many of these schemes? They were effective, especially in the East Midlands. Will he make a clear and concise statement, in contrast to the general statements that he has so far given?

Mr. Mitchell

The whole matter of regional and selective assistance is under review. As soon as that review is completed, announcements will be made to the House. The hon. Gentleman can, I hope, take satisfaction from that. It is not vague.