HC Deb 24 February 1982 vol 18 cc854-5
14. Mr. Grimond

asked the Secretary of State for Scotland what estimate he can give of the new jobs created, or which have been promised, in Scotland so far in the current year.

Mr. Younger

Records of new jobs created cannot be accurately kept as they are the result of numerous decisions by many companies throughout Scotland. However, announcements made public during the past few months alone cover over 6,000 new jobs. My Department has made 130 offers of selective financial assistance during the current financial year to projects involving more than £410 million of investment and over 14,500 jobs.

Mr. Grimond

Is the Secretary of State aware that the House will be glad to hear that there are 6,000 new jobs and that his Department is offering so much money? However, that is not a large contribution in the light of the level of unemployment in Scotland. Will the right hon. Gentleman use his undoubtedly great influence with the Chancellor of the Exchequer to see that he reduces the taxation on employing people, through the national insurance contribution, and also reduces the cost of energy to industry?

Mr. Younger

I am grateful to the right hon. Gentleman for his assessment of my great influence with my right hon. and learned Friend the Chancellor. I shall make sure that those points are fully represented to the Chancellor. The difficulty is not that of finding money to support new projects, but that of finding the projects in the first place. All our attention is turned to that.

Dr. M. S. Miller

May I draw the right hon. Gentleman's attention to the speech of his right hon. Friend the Prime Minister last night, in which she played down the advantages of North Sea oil in previous years against the disadvantages now, when the price has dropped? How many new jobs were created last year when we were in the advantageous position of having North Sea oil?

Mr. Younger

I do not know whether the hon. Gentleman has had a chance to read the full version of my right hon. Friend's speech, but that is not a proper reflection of what she said about North Sea oil. She made it quite clear that if the price of North Sea oil continues to fall it will pose some problems in balancing our budget, as we are major producers. No one, least of all my right hon. Friend, is in any doubt about the benefits of North Sea oil. We now have 90,000 to 100,000 jobs in Scotland because of it.

Mr. Ancram

Does my right hon. Friend accept that the prospect of bringing new jobs to Scotland is not helped by the constant talking down of Scotland by Opposition Members? If they are concerned about bringing new jobs to Scotland, can they not be more constructive?

Mr. Younger

I sympathise with my hon. Friend. Although I am not surprised that Opposition Members share our great concern about the difficulties in the economy and unemployment, it is a mystery why no Opposition Member seems capable of welcoming any good news.

Mr. Gordon Wilson

In the interests of objectivity, will the Secretary of State give, for the period when the 6,000 jobs have been created, the figure for those that have been lost? What steps do he and his colleagues in the Government intend to take constructively to refurbish and change the system of regional incentives, as the present system seems to be collapsing?

Mr. Younger

I do not accept that. The present system of regional aid is competitive with what is provided in other countries with which we compete for inward investment. Now that the system is concentrated in the Locate in Scotland office, we are able to do a thoroughly professional job in attracting new industry to Scotland. I should have thought that the hon. Gentleman would welcome that.