§ 3. Ms Rosie Winterton (Doncaster, Central)If he will make a statement on his strategy for promoting inward investment in the English regions. [159060]
§ The Minister for Trade (Mr. Richard Caborn)Invest UK is the Government agency that promotes the whole of the United Kingdom as the best inward investment location in Europe, and it works in partnership with the United Kingdom's development agencies.
As my right hon. Friend said, Ernst and Young's "Investment Monitor" was issued today and shows very clearly that the UK's number of inward investment projects has increased by 13 per cent. on last year. The UK enjoys investment rate growth that is more than twice that of Europe, and we are Europe's favourite investment location. Our market share has also gone up by 2 per cent., so that we now receive 26 per cent. of all investment into Europe.
§ Ms WintertonAlmost 6,000 jobs in Yorkshire and Humberside have been created as a consequence of inward investment secured by Yorkshire Forward. However, if our region is to be at the leading edge of the knowledge economy, we will have to increase the amount of high-quality inward investment in research and development. When my right hon. Friend next meets Yorkshire Forward, will he discuss with it what can be done across Government to increase such investment and to help restructure our industrial base in the region, particularly in the light of today's announcement by Corus?
§ Mr. CabornMy hon. Friend asks a very pertinent question. Regional development agencies, particularly the one that operates in my hon. Friend's constituency in Yorkshire, have been established in the north-west and the north-east to organise inward investment from north America to what they call the greater north of England. Additionally, in our White Paper a few months ago we considered the matter of clusters. We are now rewriting 967 the cluster policy as an inward investment prospectus for all those who want to invest internationally in our knowledge economy. I think that that will keep us at the leading edge of technology and ensure that we continue to move manufacturing up the value-added chain.
§ Mr. Tony Baldry (Banbury)What real help is the Department of Trade and Industry giving to businesses that have already invested in the regions, but recently found their business decimated by the outbreak of foot and mouth disease? After examining the small print of the help that the Government are offering, many businesses see very little, if any, real help being offered. It is another example of all spin and no substance.
§ Mr. CabornThere is to be a statement on foot and mouth later today—
§ Mr. BaldryWhat about the Department of Trade and Industry?
§ Mr. CabornThe regional development agencies in the four worst-hit regions have had an additional £15 million on top of the £8 million available in their own budgets. I know that they have been working very hard. Furthermore, my hon. Friend the Minister for Small Business and E—Commerce and my right hon. Friend the Minister for the Environment have been working with the regional development agencies to ensure that they mitigate the worst circumstances being experienced in those regions by the businesses to which the hon. Gentleman referred.