HC Deb 15 February 1982 vol 18 cc6-7
5. Mr. Roy Hughes

asked the Secretary of State for Wales if he has had any recent discussions with the chairman of the British Steel Corporation concerning the Llanwern steelworks.

Mr. Nicholas Edwards

I last met the chairman in December 1981.

Mr. Hughes

In view of the public praise that the Secretary of State has given the workers of Llanwern for their efforts to improve efficiency and overall production in recent months, will he now urge upon his colleagues in the Cabinet and upon the chairman of the British Steel Corporation the need for major investment schemes at Llanwern, especially in the concast plant, so that he can streamline the steelmaking process and enable the works to keep abreast of its principal competitors?

Mr. Edwards

I need not urge that point too strongly on the chairman of the BSC, because at the weekend he went to South Wales to make a speech about the desirability of substantial investment such as that described by the hon. Gentleman. The Government are awaiting the final information about the corporate plan. When we receive it we shall consider what the chairman has to say.

Mr. Coleman

Does the Secretary of State agree that great efforts have been made in the South Wales steel plants, both at Llanwern and at Port Talbot, to reduce production costs, and that the cost of steel now produced there is equal to the best European standards? In view of those efforts, will he press for finance to be made available to facilitate the introduction of continuous casting in Llanwern so that the great efforts that have achieved so much success can be built upon, and the success of steelmaking in South Wales ensured?

Mr. Edwards

As I have just pointed out to the hon. Member for Newport (Mr. Hughes), we are awaiting the information that is required to complete our consideration of the corporate plan. Until we have that information and the chairman's proposals, I cannot comment on the hon. Gentleman's detailed suggestion. I have gone out of my way to acknowledge the enormous improvement in productivity and performance at those plants. That improvement is likely to form the foundation for future strength and I welcome what the chairman of the BSC said on the subject at the weekend.