HL Deb 30 November 1970 vol 313 cc324-6
LORD MERRIVALE

My Lords, I beg leave to ask the Question which stands in my name on the Order Paper.

[The Question was as follows:

To ask Her Majesty's Government, bearing in mind the growth of international competition, what incentives or facilities are being provided for British firms to co-operate more effectively with French firms, with a view to ensuring industrial expansion and an extension of multi-national companies on a European basis.]

THE MINISTER WITHOUT PORTFOLIO (LORD DRUMALBYN)

My Lords, Her Majesty's Government strongly support the idea of co-operation between British and French firms. The resources of the Department of Trade and Industry and Her Majesty's Embassy in Paris are at the disposal of firms needing help and advice in this connection.

LORD MERRIVALE

My Lords, I thank my noble friend for that encouraging reply. Would he not agree that there is at the moment insufficient bilateral and trilateral industrial co-operation? Would he not further agree that our bankers should play a leading role in efforts towards such industrial integration?

LORD DRUMALBYN

My Lords, I am sure that Her Majesty's Government will welcome any assistance towards this kind of integration. My noble friend is aware that there is considerable cooperation at Governmental level, in civil aviation and on the computer side. So far there has not been a great deal of development of this kind of bilateral cooperation, although there has been some, with other nations added in.

LORD SHINWELL

My Lords, is the noble Lord aware that co-operation between British and French firms is one thing, but financial assistance is quite another? In view of the fact that the Government have refused to come to the aid of the Mersey Docks and Harbour Board, and have now decided to withdraw the investment grant which may lead to the bankruptcy of many small firms in this country, will they refrain from handing over money to firms in France?

LORD DRUMALBYN

My Lords, it is not a question of handing over money, but a question of encouraging cooperation between firms.

LORD PARGITER

My Lords, would not the noble Lord agree that it is desirable to encourage co-operation on a two-way basis—not only for British capital to be used to employ French labour, but for French capital to be used to employ British labour?

LORD DRUMALBYN

My Lords, most certainly.

LORD MERRIVALE

My Lords, I wonder whether I may ask one further question relating to industrial integration between this country and the Continent, in regard to which I believe Her Majesty's Government are in favour. Would Her Majesty's Government consider encouraging consultations, or contacts, between members of the Industrial Policy Group in this country and The Association des Grandes Entreprises in France; in other words, between the organisations which represent the leading firms in both countries?

LORD DRUMALBYN

Yes, my Lords. As my noble friend will be aware, the C.B.I. have the closest links with the corresponding organisation in France. My noble friend may also be aware that last June an Anglo-French industrial symposium was held in Lille. On the British side it was organised mainly by the British National Export Council who worked closely with Her Majesty's Embassy in Paris.

LORD MERRIVALE

My Lords, I am sorry to press my noble friend further. I did not refer to the C.B.I. Will Her Majesty's Government give every encouragement to the Industrial Policy Group, which has it headquarters within the precincts of the C.B.I. but is distinct from the C.B.I. and is concerned with 21 of this country's leading firms, while in France the AGREF is concerned with 19 of France's leading firms?

LORD DRUMALBYN

My Lords, I shall be glad to draw my noble friend's observations to the attention of my right honourable friend.

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