LACE INDUSTRY (SCIENTIFIC RESEARCH LEVY) (REVOCATION) ORDER, 1964 (Hansard, 25 February 1964)

§ THE MINISTER OF STATE, BOARD OF TRADE (LORD DRUMALBYN)

My Lords, I beg to move that the Draft Lace Industry (Scientific Research Levy) (Revocation) Order, 1964, a copy of which was laid before this House on January 30, 1964, be approved. The purpose of this Order is to revoke, as from March 31, 1964, the Lace Industry (Scientific Research Levy) Order, 1958, made under Section 9 of the Industrial Organisation and Development Act, 1947, which imposes a levy on the lace industry to finance scientific research by the Lace Research Association. If this Order is approved, the last period for which the levy will be collected is that ending December 31, 1963. The Order 1034 also revokes the Lace Industry (Scientific Research Levy) Order, 1955, and the two Orders amending that Order. Charges under the 1955 Order as amended ceased on December 31, 1958, but the Order has not been revoked.

Your Lordships will no doubt like to have a short explanation of the reasons. In recent years there has been considerable change in the lace industry. A relatively new method of making lace on Raschel machines now produces the largest output, and this Raschel type of lace has been outside the scope of the statutory levy. The prosperity of the traditional sections of the industry has meantime declined. Changes in fashion and demand have led to a marked reduction in the sales of some types of products such as lace furnishings and plain net, and the output of lace generally (apart from the Raschel section) has fallen off. The Lace Research Association formally notified the Board of Trade last year that all levy-paying sections of the industry were opposed to continuing the statutory levy.

The 1947 Act requires the Board of Trade, before making an Order, to consult organisations representing substantial numbers of persons carrying on business in or employed in the industry. This they have done. There was unanimity among lace manufacturers in favour of terminating the compulsory levy, and no objections were made by the trade unions representing the majority of the workers. The Department of Scientific and Industrial Research also raised no objections, on the understanding that alternative voluntary arrangements would be made to continue industrial support of the Lace Research Association.

Arrangements have been made for the Lace Research Association to continue with a new structure and revised programme, financed by voluntary contributions from the trade, including a contribution from one of the trade unions. The Department of Scientific and Industrial Research has agreed to continue grant-in-aid to the Association for the next five years, and it is expected that the work of the Lace Research Association will continue on much the same 1035 scale as during recent years, if this Order is approved. My Lords, I beg to move.