Tourism (Hansard, 14 February 1989)

§ 10. Mr. Adley
To ask the Secretary of State for Employment in what form he proposes to announce his conclusions following his review of tourism

§ Mr. Lee
The tourism review report is still under consideration and no decision has yet been taken on how the conclusions will be announced.

§ Mr. Adley
I thank my hon. Friend for that reply, and I declare my interest in the industry. Will the Minister use the period of suspension of section 4, which is causing some concern, to consult his colleagues in the Welsh and Scottish Offices to see the great success that they have made of the utilisation of grant? Does he agree that there are regions of England where investment is still needed, and might he consider concentrating section 4 on those areas which still need investment?

§ Mr. Lee
Section 4 has been a great success in England, and, as I have said, a huge amount of construction work is under way. The outlook for our home tourism industry in 1989 is now excellent, with overseas package tours under considerable pressure.

§ Ms. Short
Does the Minister's review of tourism take into account that that highly profitable industry is notorious for low pay, and that prosperity is not brought to a country if those who work in an industry do so for very low remuneration? Will the Minister consider that, and has he any proposals to improve employment conditions?

§ Mr. Lee
The tourism review does not specifically examine pay. The hon. Lady does no service to herself or to her constituents by harping continually on low pay in the industry, as by and large the overall remuneration package is improving considerably.

§ Mr. Bevan
Will the review consider value for money in relation to the non-statutory regional tourist boards? Will my hon. Friend also consider the provision of alternative finance—perhaps through the private sector—as a replacement for section 4 grants when encouraging those who wish to enter the industry or to develop within it?

§ Mr. Lee
I know of my hon. Friend's deep commitment to the tourism industry. We are examining the question of the regional tourist boards. Let me say again, however, that a huge amount of private sector investment is under way.

§ Mr. John Evans
Will the Minister reconsider his decision to cut off section 4 arbitrarily? I am particularly concerned about the north-west. Haydock park, in my constituency, was holding discussions with his Department, in the middle of which he cut off the grant. Is that not unfair?

§ Mr. Lee
Considerable new invesment and development work has been under way at Haydock park. As for the north-west overall, it has done extremely well in terms of new capital investment in tourism, and the tourism industry there has received substantial section 4 grants. The Granada studios tour development in Manchester, for instance, received some £750,000.