HC Deb 09 July 1980 vol 988 cc525-6
4. Mr. Norman Hogg

asked the Secretary of State for Scotland if he will make a statement on progress in regenerating Scottish industry in order to reduce the total number out of work.

Mr. Younger

There are a number of developments with major implications for the Scottish economy. For instance, the proposed development at Mossmorran, the new nuclear power station at Torness, and the recently announced gas gathering pipeline will alone involve investment of about £3,000 million. But I cannot emphasise too often that the regeneration of the Scottish economy and a reduction in unemployment will depend upon the measures we are taking to control inflation and thereby increase industrial competitiveness; and upon the response of both sides of industry to these measures.

Mr. Hogg

Is the Secretary of State aware that in Strathkelvin 717 young people are registered as unemployed, and 130 young people are taking part in the youth opportunities programme? Is he further aware that in Cumbernauld 643 youths are unemployed, and 300 young people are taking part in the youth opportunities programme? Does the Secretary of State believe that those unemployed youths have any confidence in the Government's economic policy?

Mr. Younger

I share the hon. Gentleman's concern about his constituency, where the average rate of unemployment is even higher than the average rate for Scotland. It is precisely for the reasons that the hon. Gentleman has given that we have expanded the youth opportunities programme. We have given the same pledge that the previous Labour Government gave as regards what can be done to help them.

Mr. Donald Stewart

As the Republic of Ireland seems to beat Scotland at every turn when it comes to attracting jobs, will the Secretary of State consider altering the inward investment package, or is the Scottish Office just the creature of the Treasury?

Mr. Younger

As the right hon. Gentleman knows, both my Department and the Select Committee are looking into the methods of inward investment. I look forward to hearing what the Select Committee has to say. I shall consider very carefully any improvements that are suggested.

Mr. Allan Stewart

In that context, does my right hon. Friend agree that the STEP programme is important? [HON. MEMBERS: "Reading."] Will he press the Manpower Services Commission to complete its current review of that programme so that resources can be concentrated on the young long-term unemployed?

Mr. Younger

As my hon. Friend will know, the programme has been kept at its previous level. We shall bear in mind my hon. Friend's suggestion.

Dr. M. S. Miller

Does not the right hon. Gentleman realise that he and his Government have created such hopelessness in Scotland that a factory in my constituency can close almost overnight and shed 1,700 workers without consultations with the trade unions involved?

Mr. Younger

Any closure is extremely tragic, particularly at a time like this. I am sure that the hon. Gentleman will do everything that he can to persuade the management and work force of factories in his constituency to bargain sensibly about wages, so that they do not price themselves out of the market.