HC Deb 27 October 1993 vol 230 cc821-2
10. Mr. Ingram

To ask the Secretary of State for Scotland what financial targets he has set each of the new town development corporations for the disposal of their industrial and commercial assets.

Mr. Lang

I am publishing the financial targets for the disposal of the new towns' industrial and commercial assets in the Official Report. All the new towns are on schedule to meet those targets and are progressing successfully towards maturity. I therefore now intend to consult on the basis that the wind-up of Livingston and Irvine new towns should take place on 31 December 1996. That would be two years and three years respectively ahead of earlier plans. The timetable for the other three new towns would remain as already announced.

Mr. Ingram

Why does the Secretary of State not simply admit that he has been told by the Treasury to asset strip the new towns? Is he aware that the business community and the wider community in East Kilbride and in the other new towns are frankly appalled by the mess that has been made of the wind-up proposals? Why does not he just accept that he is wrong? Why does he not use the talents and assets in the new towns to regenerate the Scottish economy?

Mr. Lang

I do not agree with the hon. Gentleman that the development corporations have made a mess of the wind-up of the new towns. They are handling the matter extremely efficiently and professionally, and I commend them for that. Asset stripping does not enter into the matter. The assets created in East Kilbride will remain in East Kilbride. The capacity of East Kilbride to continue to attract new investment and new employment will be maintained.

Mr. Norman Hogg

Can the Secretary of State explain how the following problem will be dealt with? The proposal for Scottish local government reform in my area is to put the new town of Cumbernauld into North Lanarkshire, which would take the town out of Dunbartonshire Enterprise. That would be a serious change taken with the loss of the drive for jobs that goes with the development corporation. Anything that upsets the special relationship with the local enterprise company cannot be good. What is the Scottish Office view on that?

Mr. Lang

The hon. Gentleman raises a fair point which must be addressed. We are considering the position there and we shall be able to develop our thoughts and to make our view plain as the local government Bill moves through Parliament. For the hon. Gentleman's benefit, I add that the responsibility for local authority services such as planning and the management of community assets will pass to the new local authority from the new town development corporations on 1 April 1996.

The following is the information:

Financial targets
£ million
East Kilbride 43.55
Glenrothes 15.23
Cumbernauld 14.50
Livingston 7.00
Irvine 2.35