HC Deb 08 July 1999 vol 334 cc1172-3
12. Mr. Tim Loughton (East Worthing and Shoreham)

What estimate he has made of the number of new jobs created by utility companies since 1 May 1997. [88978]

The Minister for Employment, Welfare to Work and Equal Opportunities (Mr. Andrew Smith)

The number of employee jobs in the electricity, gas, water supply and telecommunications industries in Great Britain increased by 2,000 to 342,000 between March 1997 and March 1999.

Mr. Loughton

I am grateful to the Minister for those figures, but I wonder what work his Department has done to monitor which is more successful in creating real jobs more cost effectively: the utility companies or the new deal. May I refer him to an example from my own constituency? A local electricity company has so far created 500 new jobs in building a new gas-fired power station, despite the Government's moratorium on gas-fired power stations. Half of those 500 new jobs are guaranteed to employ local people, yet, according to the last count, only 67 new jobs have been created under the new deal in the whole of West Sussex. Which is the more effective creator of new jobs?

Mr. Smith

Of course businesses generate jobs. The task of the new deal is to equip people with the skills to fill those vacancies. Of the net increase of 2,000 jobs in the utilities industries that I just mentioned, 230 are new-deal subsidised, and there will be many more unsubsidised jobs in the total. As for the record of the new deal in the hon. Gentleman's constituency, he might like to pay tribute to the efforts of local people, who have secured a 65 per cent. reduction in long-term youth unemployment in his area. That is testimony to the success of the new deal and the way in which it works in partnership with utilities and other businesses.