HC Deb 22 April 1980 vol 983 cc196-8
3. Mr. Barry Jones

asked the Secretary of State for Employment what has been the rise in unemployment since May 1979.

Mr. Prior

Between May 1979 and April 1980 the number of people registered as unemployed in Great Britain, seasonally adjusted and excluding school leavers, increased by 145,800.

Mr. Jones

Is it not a fact that Britain's unemployment will soon reach the 2 million mark, with ever-increasing pressures on the vulnerable regions and localities of the country? Will the right hon. Gentleman fight in the Cabinet against the monetarist policy, and for fundamental changes in policy on unemployment?

Mr. Prior

The so-called monetarist policies that we are following are exactly the same as those followed by the previous Government. We should always be careful before committing ourselves to forecasts about the level of unemployment because one forecast produced by the hon. Member for Newcastle-under-Lyme (Mr. Golding) suggested that by the end of 1979 the previous Government would have reduced unemployment to 700,000.

Mr. Bulmer

Will my right hon. Friend confirm the warnings given by the last Government during the winter of discontent that wage and salary increases substantially in excess of output will lead to rapidly rising unemployment?

Mr. Prior

I confirm that wholeheartedly. The more we can keep our increases in wages down, the better the prospects for the rate of inflation and for jobs. That is in no way inconsistent with the policy for controlling the growth of the money supply.

Mr. Radice

Do the Government understand that the situation in the Northern region is deteriorating dramatically and there are fewer and fewer vacancies with more and more unemployed people and redundancies every week? Does it need a national disaster to make the Government change their policy?

Mr. Prior

The position in the North, and particularly the North-East, is serious. However, one of the strange things is that there are still vacancies in that part of the world for a number of jobs, such as work on the railways. I hope that the hon. Member will do all that he can to see that such vacancies are filled.

Mr. Gordon Wilson

Does the Secretary of State accept that unemployment is increasing very rapidly in Scotland, Wales, Northern Ireland and the North of England? In the absence of any positive efforts by the Government to do something about this is he aware that there is a prevailing view that this Government were elected by the South for the benefit of the South?

Mr. Prior

I absolutely reject that view. As the former Prime Minister said, we are no longer in a position where we can print our way out of unemployment. The sooner we recognise that fact, the better.

Mr. Peter Lloyd

Is it not a fact that unemployment doubled in the five years of the last Labour Government and did that not demonstrate that Socialist remedies for this evil simply do not work? Will not my right hon. Friend agree that the only hope for those on the dole is a revival of the private sector, based on incentive and opportunity?

Mr. Prior

My hon. Friend is right. The Opposition have no remedies. Unemployment more than doubled under them. As a result we started this recession with double the amount of unemployment with which we started the last.

Mr. Varley

Can the right hon. Gentleman tell us what measures he has taken since last May to reduce unemployment?

Mr. Prior

I have supported Government policies.

Mr. Varley

Is it not true that the right hon. Gentleman has no more confidence in Government economic and industrial policies than we have? Is it not about time he started to stand up and fight for the unemployed instead of allowing the drift towards the 2 million unemployed mark by next winter?

Mr. Prior

When it comes to fighting, I need no lessons from the right hon. Member.