HC Deb 15 February 1984 vol 54 cc250-2
5. Mr. Bruce

asked the Secretary of State for Scotland what is his policy on assessing discounts in transferring assets from the public to the private sector in Scotland.

Mr. Younger

Discounts are restricted to particular types of property—mainly agricultural land settlement estates and local authority houses. Where discounts are given, the amount depends on the circumstances and is applied to the market value as assessed by the district valuer.

Mr. Bruce

I am grateful to the Minister for that clarification of policy. Is he aware that there is considerable concern that the Government's transfers of assets in public ownership to private ownership are not at a price that is to the advantage of the taxpayer? Will the Minister explain on what basis such a national asset as the land on which the Scott Lithgow yard is built might be transferred? May we have an assurance that such a transfer will not be at less than the commercial value and that the interests of the public at Inverclyde and Scotland as a whole, as well as the taxpayer, will be secured?

Mr. Younger

I note the hon. Gentleman's point. I should have thought that he would strongly agree with me that the principal objective of all the efforts made on the lower Clyde is to find a new operator who is prepared to carry on the business of offshore construction on that site. That is the principal objective of British Shipbuilders as it negotiates with the various parties which have shown an interest.

Mr. Henderson

Will my right hon. Friend bear in mind that the hon. Member for Gordon (Mr. Bruce) voted against the extension of discounts for council tenants who wished to buy their houses? The policy of selling council houses to sitting tenants has benefited those who wish to buy, because more resources are available for housing and for the ratepayers at large.

Mr. Younger

I was as surprised as my hon. Friend to find the Liberal party representative voting in that direction. I hope that that will be noted. Figures were published yesterday showing that between 1 October 1980 and 30 September 1983 no fewer than 37,668 houses had been sold to their tenants in Scotland. That policy has been widely welcomed, in spite of the Liberal party's actions.

Mr. Wilson

Is the Secretary of State aware that Norway has customarily tied the issue of oil licences to industrial opportunities? How does the right hon. Gentleman manage to arrive at the position where oil licences are granted from the Clyde to BP, and BP is allowed to kick Scott Lithgow in the stomach about the removal of the oil rig order? Is it not an example of exemplary incompetence on the Government's part that they have managed to reach the stage where no pressure is brought to bear on the oil companies to bring jobs to Scotland?

Mr. Younger

I am surprised to find the hon. Gentleman so woefully ill-informed on this matter. First, I should have thought that Norway would be the last country which we would wish to emulate on oil policy, because Norway has various problems. Secondly, as I should have thought the hon. Gentleman would know, we regularly exceed 70 per cent. of the content of North sea oil orders being produced in this country, and that is a pretty good record after 10 years of development.

Dr. Godman

Given the known shortage of industrial land in Greenock and Port Glasgow, what scope does the Secretary of State see for British Shipbuilders and the Clyde port authority for leasing or selling to the Scottish Development Agency non-operational land which could lead to the enlargement of industrial and developmental land in the area?

Mr. Younger

I appreciate the hon. Gentleman's point. He will probably agree that the first priority is to ascertain what will be needed for offshore construction activity. If areas of the present yard are surplus to requirements for the future, I agree with him that we must see whether they can be turned to other industrial uses.

Mr. Michael Forsyth

Does my right hon. Friend agree that it is scandalous that Scottish public authorities — regional councils — are giving large discounts to district councils when transferring housing with sitting tenants, when those discounts are being denied to the tenants themselves? Will he, in examining this policy, redress this so that tenants are not put at a disadvantage?

Mr. Younger

I am aware of that point, and that is something we shall be looking into to ascertain whether there is any way of putting it right.

Mr. Dewar

Will the Secretary of State accept that we have a vehement hope that, despite months of ministerial indifference, a solution will be found to the crisis on the lower Clyde? Will he note that we shall want the fullest information about any deal concluded and the financial implications to the private purse?

I ask the right hon. Gentleman to return to the point raised by the hon. Member for Dundee, East (Mr. Wilson). Has he considered recent reports about the possible cancellation of the BP rig order at the Scott Lithgow yard? Has he been in touch with BP, a company which is 48 per cent. owned by the Government and which has recently been successful, as announced yesterday, in obtaining a licence on the Clyde? Does the right hon. Gentleman agree with me, and will he urge upon that company, that it makes no sense to cancel the contract, which is within a few weeks of completion?

Mr. Younger

It is a bit rich for the hon. Gentleman, who had not opened his mouth on this subject until about three weeks ago, to talk about nothing being done all through last summer, when we were doing everything possible during that crisis. This is a straight matter of the contract between British Shipbuilders and BP. If BP contemplates moves, British Shipbuilders will deal with them.

Several Hon. Members

rose—

Mr. Speaker

Order. May I say to hon. Members that we have not got through many questions so far today. I propose now to go rather more rapidly, and I ask for much shorter supplementary questions.