HC Deb 21 April 1993 vol 223 cc310-2
8. Mr. Janner

To ask the President of the Board of Trade if he will make a further statement on the situation regarding the effect of pit closures on related industries.

Mr. Eggar

The Government's views are set out in the White Paper, "Prospects for Coal" and in their response to the Select Committee on Employment. It is because we recognise the impact of pit closures that we have expanded to £200 million the value of the package of measures to help affected areas.

Mr. Janner

Does the Minister recognise that while the Government are making arrangements for special redundancy payments for miners who are made redundant as a result of the pit closures, they have made no announcement, whether to the Select Committee on Employment, in the White Paper or elsewhere, about special redundancy measures to help people who are made redundant in related industries, as opposed to additional help for the areas in which they live? What do the Government propose to do for the individuals and their families? Probably as many as 100,000 people will be made redundant if the pit closure programme goes forward in any form. What special redundancy pay will they get?

Mr. Eggar

I am surprised that the hon. and learned Gentleman, who is a distinguished Committee Chairman, continues to repeat a figure of 100,000 which seems to be a complete figment of his imagination. I wish that he would point to the positive side just once. For example, why have we not heard from him about the many jobs that will be created by the announcement that the Connah's Quay project will go ahead?

Mr. Alexander

As the related industries must by definition include those interested in purchasing the coal mines that are to close, is not it astonishing that British Coal is closing down those mines at the end of April and yet refusing to allow any interested purchasers to view the mines in the meantime? Is not it clear that British Coal is denying the opportunity for those coming in to purchase ongoing coal mines and does not want competition from outside at all?

Mr. Eggar

It is my understanding that, if British Coal were to decide to cease coaling at Bevercotes, which is my hon. Friend's concern, that mine would go on to a care and maintenance basis so there is no possibility of its simply not being available for sale to the private sector. However, I understand my hon. Friend's concern and that of his constituents. Clearly, it is important that British Coal moves rapidly to put mines such as Bevercotes on the market and make them available to the private sector. I take the message that my hon. Friend has delivered to me.

Mr. Robin Cook

Is the Minister aware of the anger among miners and the management of British Coal that their pension fund is to be raided to match the cost of the new subsidy? Is it the bottom line that in March the Government announced a subsidy of up to £500 million and instructed British Coal in April to save the Treasury much the same figure? Is not it true that Conservative Members did not tell us that in the debate or the White Paper because they know that no one else will accept it as fair that the miners' pension fund should pay the cost of the Government's mismanagement of the pit closures?

Mr. Eggar

What I think people are extremely angry about is the hon. Gentleman's irresponsible scaremongering. It has been made absolutely clear that there will be no rip-off of the pension funds—pensions will be safeguarded. That is the clear undertaking which has been given. What is more, British Coal will seek a court direction as to the way in which the surplus can be disposed of. I wish that just once the hon. Gentleman would bother to do his homework.

Mr. Dickens

Can the Minister explain why Labour Members always suppose that, by throwing resources after —[Interruption.]

Madam Speaker

Order. The hon. Gentleman has been here for some time. He should not be asking the Minister to explain anything about Labour Members: he must ask a direct question relating to Government policy.

Mr. Dickens

When the textile workers of the north were put out of work and the mills closed, they did not have handouts such as those that have been suggested in this question.[Interruption.] That matter is relevant to the question.

Madam Speaker

Order. I am moving on.

Mr. Barron

The Minister is aware of the blackmail tactics that are being used currently at Maltby colliery to get rid of the work force and stop production at one of the most profitable and modern coal mines in Europe. That would obviously take away the market for many forms of mining manufacturing industry. On Friday this week, I am going to visit NEI mining division in Sheffield, which employs some of the best engineers in Britain. What have I to say to them when they see their jobs being taken away by the Government's attacks on the British coal mining industry?

Mr. Eggar

I find it extraordinary that the hon. Gentleman should describe what is happening at Maltby as blackmail. Through British Coal, the Government have committed a net £29 million to investment in the development of Maltby in order to create the super-pit of the future. Why does not the hon. Gentleman for once point to the advantages that lie ahead for his constituents rather than any downside?