HC Deb 20 June 1984 vol 62 cc278-80
7. Mr. Malone

asked the Secretary of State for Scotland what recent representations he has received from Aberdeen chamber of commerce concerning regional policy; and what response he has made.

Mr. Allan Stewart

The chamber was a party to a joint submission from Grampian region in response to the White Paper on regional industrial development. My hon. Friend the Parliamentary Under-Secretary of State for Trade and Industry has agreed to meet a deputation from Grampian to discuss the submission.

Mr. Malone

Is it not the case that in those representations Aberdeen chamber of commerce rightly highlighted the problem of the fish processing industry in an area that is no longer subject to regional development grants and contrasted it with other areas that are? Is it not the case that jobs in the fish processing industry are being moved from Aberdeen to other areas? Should not the moving of jobs in this way at the taxpayers' expense now be ended?

Mr. Stewart

Generally, regional policy is designed in part to move jobs to particular parts of Britain. In regard to indigenous industries and the fish processing industry, of course I recognise the general point that is made by my hon. Friend and by the chamber of commerce on their importance. These industries can benefit from Government schemes to help modernisation and innovation. A wide range of measures are available for small businesses. Investment in fish processing which meets criteria laid down by the European Commission qualifies for Government grants, which enables it to attract assistance from the Community's FEOGA scheme.

Mr. James Hamilton

As the Minister will be aware, the assumption on which the remarks made by the hon. Member for Aberdeen, South (Mr. Malone) is based is inaccurate, bearing in mind figures that I have received from the Library, which show that since 1979 in north Lanarkshire there has been an increase of 129 per cent. On that basis there is a great deal of work to be done by the Government, not only in north Lanarkshire, but in Scotland as a whole.

Mr. Stewart

That is why the White Paper has confirmed the Government's commitment to an effective regional policy.

Mr. Bruce

While I acknowledge that the Minister has said that innovation grants are available to firms in the Aberdeen area — I am pleased that two in my constituency have recently been given such grants—will he nevertheless confirm that Aberdeen chamber of commerce and Grampian regional council are concerned at the lack of support for traditional and rural-based industry, apart from fish processing, where there has been a cutback in my constituency? Will he take that on board when he is considering future regional policy? Oil is not the only industry in the north-east of Scotland.

Mr. Stewart

Of course indigenous industries are important, as the White Paper has confirmed. With regard to small firms, we announced at the end of last week a new scheme which will assist small firms throughout Scotland. As for the Grampian area, I am sure that the hon. Gentleman will have been as pleased as everyone else to see the announcement this morning by Taits of Invererie about substantial expansion. I am delighted that the available schemes of innovation have been of assistance to the hon. Member's constituency.