EUROPEAN CENTRE FOR TECHNOLOGY (Hansard, 10 April 1968)

THE EARL OF BESSBOROUGH
My Lords, I beg leave to ask the first Question which stands in my name on the Order Paper.

§ LORD CHALFONT
My Lords, my right honourable friend the Minister of Technology has had informal discussions with other European Governments. In addition, the Confederation of British Industry, with which we are in close touch, has consulted corresponding institutions in Europe, where it has found interest in the idea of such a centre.

THE EARL OF BESSBOROUGH
My Lords, while thanking the noble Lord for that encouraging reply, which I think goes further than the Government have so far gone on this matter, may I ask him whether it is intended that this new body should be rather more industrial in character than governmental, that its members will be provided by the C.B.I. and possibly other industrial federations in other countries? And am I right in thinking it will be in line with the Benelux proposals earlier this year, and could include other European countries —the members of EFTA or others—and might perhaps leave out any country that was not anxious to co-operate?

§ LORD CHALFONT
My Lords, so far as the first part of the question is concerned, I think this is a case where there must clearly be participation both by Governments and by industry. In the initial stages the C.B.I. are conducting soundings. It is clear to me and to Her Majesty's Government that when this centre is set up it will have to be a matter for governmental action as well as industrial action. So far as the second part of the question is concerned, the noble Earl is right in supposing that we hope to continue this investigation in the framework of the Benelux proposals which, as he will know, place technology very high on their list of priorities. So 328 far as participation is concerned, certainly the Benelux proposals envisage a wider area of consultation than simply between the Common Market and candidate countries, and I can assure the noble Earl that if there are some countries who do not wish to take part in this consultation it does not necessarily follow that we shall discontinue the idea or be discouraged from bringing it to fruition.

§ LORD MITCHISON
My Lords, are not the trade unions also concerned; and will they not be invited to become members of this conference?

§ LORD CHALFONT
My Lords, of course the trade unions are much concerned with this proposal. They have been consulted, and their views have been sought. We are not talking about a conference, but rather about the establishment of a permanent centre. It is difficult to say at this stage who will be members and how it will be constructed, but I can assure the noble Lord that the trade unions and the T.U.C. will be taken fully into consultation.

§ LORD MITCHISON
As fully, both as regards consultation and membership, as the C.B.I.?

§ LORD CHALFONT
Yes, of course. The C.B.I. are conducting the soundings at the moment, but we have kept the T.U.C. and the C.B.I. informed equally throughout the investigation so far.

THE EARL OF BESSBOROUGH
My Lords, might I ask also something about the objects of this centre? Am I right in thinking one of the objects will be to encourage mergers between firms in different countries in Europe, and also that it might assist in rationalising tax and patent laws? It would be very interesting to know more about the objects of the organisation.

§ LORD CHALFONT
My Lords, I think it might be unwise for me at the moment to go too deeply into the exact nature of this centre, because we are awaiting the reactions of our partners on the Continent. As the noble Earl will know, the Six are now engaged in considering the Benelux proposals, the Italian Memorandum and the Franco-German Declaration, all of which include proposals for technological co-operation. Therefore, I think it would be unwise for me to go 329 too specifically into the exact nature of the centre. But I think I can say that one of its aims would be to undertake reviews of the whole scope of European industry and make forecasts about its development and the way in which its structure will emerge, and certainly I imagine that it would take into account the kind of mergers to which the noble Earl refers.

§ LORD SHERFIELD
My Lords, is the noble Lord aware that such a project is likely to be very wasteful of scarce human resources and material resources unless its objectives and purposes are very specifically and clearly defined, and that it will not really provide a substitute for direct contacts between laboratories and industries in the countries concerned?

§ LORD CHALFONT
My Lords, of course I take the noble Lord's point. Nothing can really take the place of this kind of direct co-operation, but I do believe that this centre will have an important role to play, and certainly our partners on the Continent seem to be persuaded of this. I agree with the noble Lord that it will not be fully effective unless its aims and objectives are clearly defined and set out; and that we shall aim to do before going any further in setting it up.