HC Deb 10 January 2001 vol 360 cc1061-2
1. Mrs. Linda Gilroy (Plymouth, Sutton)

What progress has been made with respect to the country plan for Montserrat. [143195]

The Parliamentary Under-Secretary of State for International Development (Mr. George Foulkes)

The country policy plan for Montserrat has led to the development of economic activity, housing, health, education and other facilities in the north of the island for the 4,500 Montserratians now living there. All the key facilities for normal life are now in place. The volcano, however, continues to pose a threat to the south of the island.

Mrs. Gilroy

I thank my hon. Friend for that response. He may know that one of the 40 places named after the Plymouth that I represent is—or rather, sadly, was—in Montserrat and that therefore some of my constituents tend to take a rather keen interest in its affairs. Would he therefore put a little more flesh on the bones of his answer? It sounded fairly positive, but could he give some examples of current projects?

Mr. Foulkes

I am the right Minister to put flesh on bones. My hon. Friend rightly reminds us that nearly two thirds of the island was destroyed, including the capital of Plymouth and most of the infrastructure. I am glad to say that fuel, electricity and water supplies have been secured and enhanced; that new health, education and Government facilities have been built and existing facilities upgraded; that transport infrastructure has been improved by the building of new roads; that we have upgraded the heliport; and that we have provided a new jetty and funding for nearly 1,000 houses. That is a tremendous effort for the people of Montserrat, and rightly so.

Mr. John Bercow (Buckingham)

Given that Montserrat was listed as a tax haven by the Organisation for Economic Co-operation and Development, what representations on that point has the hon. Gentleman made, or alternatively what assistance does his Department envisage providing for the territory, bearing in mind that if its financial services sector is damaged or destroyed, the country is much more likely to be prey to the commission of serious crime, including drug trafficking?

Mr. Foulkes

Montserrat was developing as an offshore tax haven prior to the eruption of the volcano. Since then, it has of course been difficult, if not impossible, for the Montserratians to envisage that. They are keen to develop, but we have reservations. We want to ensure secure and proper arrangements for supervision. We discussed that recently at the Consultative Council of the Overseas Territories when the Chief Ministers were here, and we shall continue to do so. We are of course aware that were any overseas territory to lose any resources as a result of the pressure that the hon. Gentleman describes, our Department would need to make available additional resources.