HC Deb 14 May 1986 vol 97 cc691-2
4. Mr. Tony Lloyd

asked the Secretary of State for Trade and Industry if he will discuss with relevant manufacturers the future of the United Kingdom cable-producing industry.

Mr. Peter Morrison

I would be happy to discuss with the industry any specific points it might wish to raise about its future. I am most grateful to the hon. Gentleman for bringing a delegation to see me yesterday.

Mr. Tony Lloyd

The Minister is aware of the closure by Sterling Greengate Cables of a factory in Trafford park in Manchester and the movement of some of that work to Aldermaston, where unemployment is much less of a problem than it is in the north-west. In his discussions with manufacturers, especially multinationals such as the one to which I referred, will the Minister point out, not only that they have social obligations to areas such as the north-west, but that the Government demand that their investment plans should include a recognition of the geographic dispersion of that investment?

Mr. Morrison

As I said to the hon. Gentleman when he raised the matter with me yesterday, regional grants are based on precisely the premise that he has advocated. I remind him that my constituency is about 30 miles down the road from Trafford park, which he represents and where many of his constituents work, so I understand his point.

Mr. Gerald Howarth

Is my hon. Friend aware that the United Kingdom cable industry enjoys an excellent reputation throughout the world? It has contributed substantially to the United Kingdom export drive, but it is deeply worried about the EEC proposals on product liability, which it perceives to be very damaging, and which could assist non-EEC importers.

Mr. Morrison

I have looked into product liability. I should be happy to be told more about it, but I am assured that it need not be a problem for the industry.

Mr. Eastham

Do the Government have any strategy for the cable manufacturing industry, or do they intend to leave it to market forces? That would mean that the cheapest markets, irrespective of where they are, would take from Britain this industry, which is valuable and strategically important to it.

Mr. Morrison

I agree that the industry is important. That is why, in the aid and trade provision, substantial sums go indirectly, if not directly, to the cable industry. The hon. Gentleman is aware that substantial sums have been spent to attract new cable manufacturers to Britain. Only last week I visited a manufacturer in the north-east who was successfully using the most modern methods of production.