HC Deb 23 November 1982 vol 32 cc698-9
12. Mr. Ralph Howell

asked the Secretary of State for Employment if he will compare the percentage of the work force who are unemployed in the United Kingdom with the figures for (a) Switzerland and (b) Jersey.

Mr. Peter Morrison

The latest available unemployment rates, using figures on national definitions, are 13.1 per cent. in the United Kingdom, 0.5 per cent. in Switzerland and 1.7 per cent. in Jersey. They are not directly comparable, because of differences in concepts, coverage and methods of compilation.

Mr. Howell

Does my hon. Friend agree that these figures are not only enlightening, but disturbing, in view of our experience? Is he aware that the one thing that Switzerland and Jersey have in common is that people there have the right to work and the obligation to work, rather than rely on welfare benefits? Will he assure the House that a study will be made to find out whether we can benefit from their successful methods?

Mr. Morrison

I agree with my hon. Friend that the level of unemployment benefit is bound to have a consequence for the willingness to search for a job. My hon. Friend has made invidious comparisions, and I agree with him, but he should know—as I am sure he does—that, compared with Canada, Germany, the United States of America, the Netherlands and Ireland, our increase in unemployment over the past 12 months has been substantially lower.

Mr. Radice

Will the Minister confirm that since May 1979 United Kingdom unemployment has increased more rapidly than that of any of our main competitors?

Mr. Morrison

I do not think that the hon. Gentleman was listening to what I said. What he says may be the case, but I was speaking about the last 12 months.

Mr. Bill Walker

Does my hon. Friend agree that in both Switzerland and Jersey people in public life recognise that banking and insurance are providers of jobs and creators of wealth? The massive investment in Perth by the General Accident Fire and Life Assurance Corporation of £30 million for a new headquarters has not been received well in some quarters. Is not that attitude the reason why this sector does better in Switzerland and Jersey than it does here?

Mr. Morrison

I agree with my hon. Friend that jobs in the commercial sectors of banking and insurance are just as worth while as jobs in manufacturing industry.

Mr. Straw

Does the Minister recognise that while the British unemployment rate throughout the period of the Labour Government was about the average of that of our major competitors, under this Government it has risen and made Britain the unemployment blackspot of the Western world? How does the Minister square that apalling record with the explicit avowal by the Prime Minister during the general election campaign that Tory policies would not lead to a rise in unemployment?

Mr. Morrison

As the hon. Gentleman is aware, the Government have reaped the whirlwind of a high inflation rate, lack of competitiveness and overmanning. Had that not been the case, perhaps the level of unemployment would not now be where it is. It looks as though the Labour Party's proposals for the future would lead to the same again.