HC Deb 02 December 1987 vol 123 cc913-4
1. Mrs. Virginia Bottomley

To ask the Secretary of State for the Environment how many applications he has received from private sector companies for the urban regeneration grant.

The Parliamentary Under-Secretary of State for the Environment (Mr. David Trippier)

More than 30 schemes have been discussed with the Department. Thirteen are being appraised.

Mrs. Bottomley

I thank my hon. Friend for his answer. What further information does he have about this important new initiative, especially in terms of value for money, jobs and investment in the private sector?

Mr. Trippier

A good example is the Round Oak scheme in Dudley, which, for a grant of £3.25 million, has generated four times that figure from the private sector by way of investment. It will also generate more than 1,000 new jobs.

Mr. Fraser

When the poll tax doubles the average rate burden in the inner-city area of Lambeth, will the Secretary of State consider urban regeneration grants for private companies to compensate for the lack of purchasing power among their customers?

Mr. Trippier

The hon. Gentleman knows very well that urban regeneration grant is already available to people in Lambeth, especially to private developers.

Mr. Summerson

Is my hon. Friend aware that there are long delays in processing urban regeneration grants and that that is causing a great deal of dismay in the property industry, which is doing its best to regenerate inner-urban areas?

Mr. Trippier

We are always looking at ways of simplifying the grant procedure and cutting out as much red tape and bureaucracy as we possibly can. We have to strike a fine balance between cutting out red tape and being the guardians of taxpayers' money.

Dr. Cunningham

Is it not true that, one year after this power was put on the statute book, not a penny of urban regeneration grant has been spent—no expenditure has been incurred by the Government? Is that not indicative of the shambles of the Government's inner-city policy? Is it not because of this incompetence on the part of the Department of the Environment that the Prime Minister is now talking about taking these policy matters out of its hands altogether?

Mr. Trippier

I am glad to have this opportunity of welcoming the hon. Gentleman back after his recent illness. However, having said those nice things, I must tell him that he is absolutely wrong. The new scheme was introduced in April this year and had attendant publicity.

Dr. Cunningham

It became an Act a year ago.

Mr. Trippier

Of course, but it was introduced only in April this year, and, to a certain extent, it was overtaken by a certain event called the general election. The publicity for it was subsumed during that period for reasons that the hon. Gentleman will acknowledge. Subsequently, we have resuscitated the publicity and the scheme has attracted a considerable number of applications.

Dr. Cunningham

The Government have not spent a penny yet.

Mr. Trippier

I answered that when answering the supplementary question.