HC Deb 26 March 1979 vol 965 cc14-6
12. Mr. Roderick

asked the Secretary of State for Wales how many advance factories he has authorised to be built since March 1974; and how many factories were involved in the most recent approvals given to the Welsh Development Agency and the Development Board for Rural Wales to build factories.

Mr. John Morris

From March 1974 to the end of last year, I authorised the construction of 428 advance factories, totalling nearly 3 million square feet. This year I have approved a further programme by the Development Board for Rural Wales of more than 25 units totalling 110,000 square feet and a new two-year programme by the Welsh Development Agency of over 1½ million square feet. Under the Agency's new programme, each local authority district is given an allocation of factory space. The exact numbers, sizes and location of the units are being left open, in order to give the Agency greater flexibility to respond to local needs.

Mr. Roderick

I thank my right hon. and learned Friend for that reply and congratulate him on the tremendous effort that he has made to create jobs in Wales. May I advise him that there is—

Mr. Speaker

Order It is time not for advice but for questions.

Mr. Roderick

Is my right hon. and learned Friend aware that his efforts are being undermined by a firm which has received substantial public assistance, namely, British Leyland? It is about to sign a contract that will transfer contracts from Smiths Industries in my constituency to a French firm. That will, in the long term, mean a substantial loss of jobs—50 immediately, 250 ultimately and—

Mr. Speaker

Order. Will the hon. Member ask a question?

Mr. Roderick

I was asking my right hon. and learned Friend whether he was aware of that situation.

Mr. Speaker

Order. We are all aware of it now.

Mr. Roderick

Will my right hon. and learned Friend intervene to prevent the signing of such a contract?

Mr. Morris

I am aware of my hon. Friend's representations and I share his concern about Smiths Industries at Ystradggnlais. My right hon. Friend the Minister of State, Department of Industry is taking the matter up with British Leyland following the representations that have been made to him.

Mr. Wigley

Is not the Secretary of State disturbed at the slowness in completing advance factories after they have been announced? A number of advance factories in Gwynedd announced in the programme before last have not yet been tenanted, or even been built or completed. In fact, they have not been started.

Mr. Morris

I place great stress on the need to complete the factories in Gwynedd. I know that the hon. Member is concerned. Since he asked a question on this in December, eight units have been started in Holyhead. Contracts for units at Pwllheli, Caernarvon and Bangor are being negotiated, and within a month or so should be let. By the end of the year the bulk of factories for Gwynedd should be well on their way, if not completed.

Sir Raymond Gower

The right hon. and learned Gentleman's efforts have been commendable in regard to advance factories, but is it not a trifle tragic that they have been set against an economic background that is so appalling? Industrial production is hardly higher today than it was at the time of the three-day working week four or five years ago.

Mr. Morris

I thank the hon. Gentleman for his commendation. The interest of outside industrialists in coming to Wales is continuing at a great pace. That is why we let 100 advance factories last year. In the first two and a half months of this year we have firmly let a further 28 factories.

Mr. Ioan Evans

Will my right hon. and learned Friend express to the Welsh Development Agency and the Development Board for Rural Wales the appreciation of the House for the fact that, having been set up by the Goverment, they have been so successful in attracting industries to rural Wales, and especially to South Wales?

Mr. Morris

I am sure that my hon. Friend is right. Strenuous efforts have been made by the Conservative Party to reduce the extra cash provision for the WDA, and they voted against the proposal in Committee.