HC Deb 30 June 1980 vol 987 cc1073-4
9. Mr. Ioan Evans

asked the Secretary of State for Wales what proposals he has submitted to the European Economic Community for Wales to be designated as a special action area; and if he will make a statement.

Mr. Nicholas Edwards

I have given the Commission a pilot study covering industrial South Wales as part of its initiative on integrated operations.

Mr. Evans

Would it be possible for the details to be put in the Library, so that we may see what the Secretary of State has submitted? Does the right hon. Gentleman recall that Employment and Social Affairs Commissioner Vredeling said that he was disturbed to find such a massive rundown of the steel industry in Wales, in view of the repercussions that it was having on the coal industry and the general economy? What action will the Government take if nothing is forthcoming from Brussels?

Mr. Edwards

I do not think that it would be appropriate for the document to be placed in the Library at this stage. It is only a provisional draft document, one of a number that are passing between the Commission and the Welsh Office while the document is being developed. A copy is being passed to the Select Committee on Welsh Affairs, which has asked for it, so the hon. Gentleman will no doubt see it in due course.

All that I would say about the Commissioner's point of view is that it is the responsibility of those who have to run the British Steel Corporation to see that it is competitive in world markets. Putting off the evil day is in the long run destructive of even more jobs and threatens the industry's future.

Mr. Hooson

Is my right hon. Friend satisfied that the administrative arrangements between the Welsh Office and the local authorities are adequate to ensure that we tap all possible European funds?

Mr. Edwards

Yes, Sir. I am sure that we are making full use of the resources available to us under EEC arrangements. I have in the past been critical of the quality of some of the schemes coming forward from local authorities. On the whole, they are improving, and there is an adequate supply, but we should always like to have an even wider choice of good quality schemes from the local authorities.

Mr. Barry Jones

The right hon. Gentleman talked of putting off the evil day. Will he appreciate that we in North East Wales hope that we have put behind us the worst of the steel redundancies, having lost 7,000 jobs? Can he give us an assurance that the jobs remaining at Shotton are safe?

Mr. Edwards

The hon. Gentleman knows that in an industry that depends, at the end of the day, on the markets. I cannot give any guarantee about the long-term future.

Mr. Budgen

When my right hon. Friend makes his statement, will he point out that any increased payments from the EEC will, inevitably and ultimately, be balanced by increased payments to the EEC?

Mr. Edwards

It might be to the advantage of this country if a larger share of the benefits of the EEC were to come into the form of industrial assistance that would be of benefit to this country, unlike some arrangements within the Community, that benefit other countries, but nor this country.