HC Deb 08 March 1984 vol 55 cc981-2
14. Mr. Eggar

asked the Chancellor of the Exchequer if he is satisfied with the trend of manufacturing investment.

Mr. Lawson

Manufacturing investment is on a rising trend. The latest DTI investment intentions survey suggests that it will increase by 9 per cent. in the coming year.

Mr. Eggar

If that most encouraging trend is to continue, is it not essential that the Treasury ensures that the Department of Trade and Industry has enough funds available to continue its excellent capital grant schemes?

Mr. Lawson

That is, of course, a matter for my right hon. Friend the Secretary of State for Trade and Industry, but as he is an assiduous reader of Hansard I feel sure that he will discover my hon. Friend's remarks very quickly.

Mr. Wareing

Are our 40 largest manufacturing companies still producing one third of their total output overseas? If this is so, does the Chancellor agree that it is not surprising in view of the Government's abandonment of exchange controls on assuming office? Is not the only way to ensure real investment in manufacturing industry for the Government to take control of the large companies?

Mr. Lawson

Perhaps the hon. Gentleman did not hear the reply that I gave some moments ago. The Department of Trade and Industry investment intentions survey suggests that manufacturing investment in this country will increase by 9 per cent. in the coming year. There has also been substantial investment abroad, which is good for British exports. It produces and will continue to produce a flow of invisible earnings to this country, which will be particularly valuable when earnings from oil begin to decline.