HC Deb 11 December 1985 vol 88 cc906-7
3. Mr. Fallon

asked the Secretary of State for Scotland if he has made any assessment of the annual economic effects on Scottish steel users that would result from the closure of British Steel Corporation, Ravenscraig; and if he will make a statement.

Mr. Younger

No. There is no proposal to close Ravenscraig.

Mr. Fallon

Does my right hon. Friend agree that the maintenance of any excess capacity by the British Steel Corporation imposes additional costs on steel users and taxpayers north and south of the border?

Mr. Younger

I appreciate the point that my hon. Friend makes. My right hon. Friends and I decided earlier this year that, in view of the uncertainty of the market for steel, it would be right for the BSC to plan in the sense of keeping all the five major plants going during the next planning period. That strategic decision on the part of the Government has secured the future of Ravenscraig.

Mr. James Hamilton

Will the Secretary of State dismiss entirely the remarks of his hon. Friend the Member for Darlington (Mr. Fallon), whose show of parochialism is outstanding? Will the right hon. Gentleman promise to make it crystal clear to the chairman of the BSC that Ravenscraig will be retained not just for three years but beyond that?

Mr. Younger

I have met the chairman of the BSC on numerous occasions about this matter and I have made my views on Ravenscraig clear to him, but neither he nor anyone else can give a guarantee for any plant into the completely unrestricted future. However, the hon. Gentleman will be as pleased as I am that we have secured Ravenscraig for the present planning period.

Mr. Henderson

Is my right hon. friend aware that many people in Scotland believe that the real guarantee of the future of Ravenscraig is the word of the Secretary of State and of the Prime Minister—[Interruption.]—and that attempts to link in other factors to the future of Ravenscraig may be damaging to Scottish interests?

Mr. Younger

I am grateful to my hon. Friend for those remarks. A strange feature of the last few months is that nobody seems to have noticed that the Government insisted that Ravenscraig should remain open during the current planning period.

Dr. Bray

Is the Secretary of State aware that whatever he has been up to behind the scenes has been extremely damaging to the future of Gartcosh, to Ravenscraig and to the honour and credibility of Conservative Members? Is he further aware that a mass of detailed evidence was submitted to the Select Committee on the future of Gartcosh and the dependence of Ravenscraig upon it and that that Committee ran away from the issues at the behest of Conservative Members? Will the right hon. Gentleman undertake to make a proper examination of all the evidence that was submitted to that Committee?

Mr. Younger

References to the motives or honour o hon. Members are no substitute for genuine arguments on this issue. My right hon. Friends and I are still awaiting the views of the Select Committee.

Mr. Fletcher

Although long-term projections of steel demand and plant capacity are extremely hazardous, does my right hon. Friend agree that the closure of Ravenscraig in the foreseeable future would have a damaging effect on British steel users, on steel exports and on the Trident submarine-building programme?

Mr. Younger

My hon. Friend is right. He has mentioned some of the factors which led the Government to decide that Ravenscraig should not be closed during the present planning period.

Mr. Dewar

Does the Secretary of State accept that if the rumours that are circulating are true, there will be deep and bitter disappointment that some Scottish representatives are apparently putting party loyalty before personal conviction in their judgment on the future of the Scottish steel industry? Will the right hon. Gentleman understand that on the Opposition Benches there is a unanimous view that Gartcosh should be offered at the very least a guarantee that is equivalent to that which has been given to Ravenscraig, a plant of which it is part? It is the firm belief of the majority of Scots that that should be done, and the right hon. Gentleman will ignore that at his peril. Will he give an assurance that Ministers have not closed their minds to that possibility?

Mr. Younger

I note what the hon. Gentleman has said. I can make no comment upon whatever has been decided or not decided by a Select Committee of which I am not a member. I think that the hon. Gentleman will accept that. I have received a large amount of evidence on Gartcosh, and views have been expressed from many sources. I am carefully evaluating the evidence and the various views. I hope that I can add to my considerations any other views that I may receive before any final comment is made.