§ 4. Mr. EadieTo ask the Secretary of State for Scotland whether he has calculated the loss of revenue to Midlothian district as a consequence of the proposed closure of Bilston and Monktonhall collieries.
§ The Secretary of State for Scotland (Mr. Malcolm Rifkind)The closure of the collieries will, of course, mean some overall loss of income and spending power to the area. But any loss of rate income to the district council will be compensated for in subsequent years through a corresponding increase in revenue support grant.
§ Mr. EadieThe right hon. and learned Gentleman should be aware that 7,000 jobs have been lost in the mining industry in Midlothian since 1978. The Secretary of State claims that the financial impact is very light, but is he aware that we have already undertaken a preliminary survey of the economic impact, which suggests that Midlothian will lose at least £20 million? A small area such as Midlothian cannot afford such a loss. Will the right hon. and learned Gentleman consider meeting Midlothian district council with me to discuss that devastating problem?
§ Mr. RifkindI have just signed a letter to the hon. Gentleman agreeing to such a meeting. Income from employment in the area will fall as a consequence of redundancies, but excluding redundancy payments, a net 214 loss of disposable income of around £4 million per annum has been provisionally estimated as a result of recent decisions. The hon. Gentleman will be pleased to learn that unemployment in his constituency fell by more than 32 per cent. in the past two years, from 4,700 to 3,300. Although that figure is still far too high, it is encouraging that the trend is significantly in the right direction.