HC Deb 28 March 1990 vol 170 cc481-2
12. Mr. Tom Clarke

To ask the Secretary of State for Scotland when he next expects to meet the Scottish Trades Union Congress to discuss employment strategy in Scotland.

Mr. Rifkind

I met the general council of the Scottish Trades Union Congress on 10 November 1989 for a general discussion on the Scottish economy. There are no plans for further meetings at present.

Mr. Clarke

Does the Secretary of State intend to raise with the STUC and British Steel the crucial importance of investment at Clydesdale and Imperial mills? Will he discuss with them the recent gossip, rumours and speculation about foreign deals? Will he tell the House whether he considers the Scottish capacity for producing seamless tubes to be important, especially for the North sea?

Mr. Rifkind

When I last met the STUC we discussed those matters and agreed that it would be highly desirable if British Steel could be persuaded to consider further investment in the steel industry in Scotland. That industry has different components, including the category to which the hon. Gentleman referred. The Scottish Office intends to ensure that its views on the future plate mill strategy for Scotland are taken into account by British Steel when it comes to develop its future strategy. At the end of the day these are matters for British Steel, but it is important that it should be aware of the good case that exists for investment in Scotland.

Mr. Robertson

The Secretary of State is only too well aware of the thousands of livelihoods in Scotland that depend on the steel industry. How can it possibly be right for Ministers to abdicate responsibility for all those people and simply to hand over the final decision for this vital industry to the board of directors of British Steel plc?

Mr. Rifkind

The employment opportunities that exist because of the steel industry are important, as are the employment opportunities presented by Yarrow, Ferranti, IBM or any large employer in Scotland. The Government do not directly provide employment. Their responsibility is obviously to encourage an atmosphere and a quality in the economy that encourage job creation. The hon. Gentleman will join me in feeling great pleasure because unemployment in Scotland has fallen by 150,000 over the past two or three years.

Mr. Neil Hamilton

When my right hon. and learned Friend next meets the STUC, will he inquire whether it has changed its policy of opposing job-creating investment, such as that which was to take place at Ford of Dundee, and whether it is still its policy to support Scotland as a museum of industrial archaeology by public sector subsidies rather than supporting the Government's policy to attract private sector investment from abroad, thereby securing the jobs of the Scottish people indefinitely?

Mr. Rifkind

I am glad to say that, unlike the Labour party, the STUC supports the Government's Scottish Enterprise proposals and the way in which training is to be developed to local enterprise companies throughout Scotland. We welcome that support. It is a pity that, so far, the Labour party has felt unable to support us.

Mr. Eadie

Is the right hon. and learned Gentleman aware that, given the serious employment problems in Scotland, it is far too long—four months—since he last met the STUC? Is he aware that the serious position in Midlothian is causing great concern? Recently, Sneddons went into receivership, with the loss of 200 or 300 jobs? Crystal Glass has threatened to close. The coal mining and engineering industries have contracted. I am worried about employment prospects in Midlothian. Will the right hon. and learned Gentleman consider giving Midlothian special regional status to tackle the employment problem?

Mr. Rifkind

The hon. Gentleman has rightly drawn attention to the various closures in his constituency, but I think that he would wish to point out fairly that many more jobs have been created in Midlothian over the past few months and years than have been lost.

Mr. Eadie

No.

Mr. Rifkind

If that had not happened, it would have been impossible for me to say, as I can, that unemployment has fallen greatly in Midlothian over the past two or three years.

Mr. Oppenheim

Will my right hon. and learned Friend remind the STUC leaders that there are more people in work in Scotland than ever before, but that that is no thanks to certain trade union leaders who put the interests of their members at Dagenham above those of the jobless in Dundee?

Mr. Rifkind

My hon. Friend is right to say that the number of people in employment in Scotland is at its highest ever recorded level.

Mr. Dewar

A month ago at Scottish questions, when replying to me, the right hon. and learned Gentleman agreed that it was important that British Steel was aware of the Scottish Office view that there was a strong case for investing in the Scottish steel industry. Despite the statements of Conservative Back Benchers, that has nothing to do with industrial archaeology. What steps have been taken to get this message across? Have there been meetings at a senior level with British Steel and involving Ministers? Does the right hon. and learned Gentleman accept that it is essential that he personally takes up the cudgels on behalf of the Scottish steel industry?

Mr. Rifkind

I must ask the hon. Gentleman to await my answer to the next question on the Order Paper, which deals with that very matter.

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