HC Deb 18 April 1990 vol 170 cc1419-21
32. Mr. Cunliffe

To ask the Secretary of State for Trade and Industry when he will next meet his counterparts in the European Commission; and what will be discussed.

Mr. Redwood

I am surprised that an Opposition Member has turned up to ask a question. I hold regular meetings with my counterparts in the European Commission on a broad range of issues.

Mr. Cunliffe

If and when the Secretary of State meets the European Commission, will he convey to it the impoverished state of the north-western region and the fact that it is imperative that the region should get more money from European grant sources to help clear up the industrial obsolescence, bad housing and bad environment caused by 10 years of neglect by the Conservative Government?

Mr. Redwood

The hon. Gentleman has obviously been trying to find a question to ask because he has asked one in which he is not interested. My right hon. Friend the Secretary of State is here and has heard the hon. Gentleman's remarks. My right hon. Friend will speak for the whole country when he speaks to the European Commission and the other member states. We shall ensure that we get our fair share of grants and assistance from the European Community, but we are also interested in sensible budget discipline because the best way to make people prosperous is to deregulate and to get out of their way—not to take their money away from them and then give it back with a deduction for handling charges.

Dame Elaine Kellett-Bowman

How dare the hon. Member for Leigh (Mr. Cunliffe) so cry down the north-west? Is my hon. Friend aware that the north-west is improving in terms of prosperity, that its employment rate is improving with every week that passes and that it does not assist our case when Labour Members constantly cry us down?

Mr. Redwood

I am delighted that my hon. Friend has made that powerful intervention. Many Members from the north-west are rightly proud of the achievements of the north-western economy. As I travel through the country I notice how much investment, employment and opportunities are growing in the regions—more so now than in the south-east where the slow-down is more marked than in the regional economies. We welcome that surge in prosperity and believe that it is the direct result of the policies being pursued to allow enterprise to triumph and inward investment to stimulate the industrial base.

Mr. Pike

When the Secretary of State has discussions in Europe, will he consider why there is longer-term investment in industry in Germany than there is here? There is still a lack of industrial investment in the north-west. Would not we do better if we followed the German example and our financial institutions made longer-term investments in our manufacturing industry?

Mr. Redwood

There is much good long-term investment going on in this country today if only the hon. Gentleman would use his eyes and see what is happening. British industry would rightly resent his idea that it is not interested in long-term investment. I see many factories going up, many new projects, and a rebuilding of the motor car industry. That is all too obvious to those who look at the figures and travel throughout the country. Real manufacturing investment is up by a third over the past five years. I welcome that and I am grateful for it. It shows that the enterprise policies are working.

Mr. Anthony Coombs

When negotiating with his counterparts a reduction in tariffs to be carried out by the Commission through the general agreement on tariffs and trade, will my hon. Friend draw attention to the position of Turkey vis-a-vis Europe? It is the largest importer of textile goods into the European Community and although we allow goods in tariff-free it has effective import barriers of 200 per cent. to our exports there. Although it has reduced its tariffs nominally, its special tariffs—for example, for contributions to its housing funds—remain in place and constitute an effective barrier against British exports.

Mr. Redwood

I am grateful to my hon. Friend for that important question and I shall draw its substance to the attention of my noble Friend the Minister for Trade. It is a matter of concern if liberalisation does not progress on both sides and it is an aim of EC policy to see that barriers are removed against Turkish exports as and when Turkey reduces its barriers to our exports to that country. My hon. Friend can rest assured that my noble Friend will continue to make strong representations about any unfair obstacles to trade imposed by Turkey.