HC Deb 08 July 2004 vol 423 cc995-6
4. Mr. Gordon Prentice (Pendle) (Lab)

What recent steps she has taken to promote and support the United Kingdom textile industry. [182681]

The Minister for Industry and the Regions (Jacqui Smith)

The Government continue to promote and support the textile industry by working with the industry-led textiles and clothing strategy group to build a sustainable future for it in the face of globalisation. Since 1997, the Government have provided more than £100 million worth of support on a range of activities to promote productivity, competitiveness and diversification into new markets.

The DTI has launched its new business support products in respect of innovation, best practice and raising finance. They are available to all eligible companies, including those in the textile industry. Ministers also take available opportunities to promote the sector through participation at industry and other relevant events.

Mr. Prentice

That is all very encouraging, but a textile firm in my constituency recently lost out on a contract for waterproof breathable garments for the Army. I learned from the correspondence that UK contractors can subcontract work to weaving companies in Pakistan.

I took the matter up with Lord Bach, the Minister for Defence Procurement. He said that UK companies using overseas contractors were beyond the reach of the regulations, because "we cannot dictate" where manufacture takes place. Surely that matter is crying out to be looked at, as so much textile work is being allowed to seep overseas?

Jacqui Smith

I understand that companies in the textile and clothing industries are concerned about the problem that my hon. Friend has identified, especially as UK prime contractors increasingly source from overseas. Officials from the DTI and industry representatives recently met officials from the Ministry of Defence to achieve a better understanding of the processes involved in, and the opportunities that arise from, procurement strategy. The aim is to ensure that both Departments are able to deliver better value for money for taxpayers, and that UK producers enjoy the best possible opportunities.

I hope that my hon. Friend will join me in congratulating Panaz Ltd., a company in his constituency. It has developed a very innovative furnishing fabric that has particular importance in health care environments, and today is being presented with the Queen's award for enterprise by HRH Prince Andrew.

Sir Nicholas Winterton (Macclesfield) (Con)

Having been involved in the textile industry for more than three decades, may I ask whether the Minister recognises that, in western economies, clothing industries remain successful only when a country operates a profitable textile industry—that is, spinning and weaving—where fabric is provided in domestic mills equipped with the latest high-tech machinery, which dispenses with cheap labour? Will the Minister have a word with the Chancellor of the Exchequer to see whether incentives can be given to the industry to purchase the latest equipment to compete with cheap labour outside this country?

Jacqui Smith

I agree with the hon. Gentleman that the way forward for our textile industry—and our manufacturing industry generally—is to invest in high-tech and innovative production. That is why we have supported the Textile and Clothing Industry Forum in a four-year programme to help to engage the supply chain, manufacturers and designers; to focus on issues such as process mapping and fast fashion; and to ensure that such innovative investment happens. As previous answers have made clear, we are a Government who have focused our attention on innovation and on innovative investment. I am sure that the hon. Gentleman will make a strong case to his Front-Bench colleagues that it is important to maintain such support for business, even in the face of the cuts their party proposes.

Mr. Deputy Speaker (Sir Alan Haselhurst)

Order. I seek the co-operation of the House. We have had a classic example of long answers and long questions, and we shall not get much further down the agenda if that remains the case.

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