HL Deb 21 July 1971 vol 322 cc964-6

2.46 p.m.

THE EARL OF LAUDERDALE

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

[The Question was as follows:

To ask Her Majesty's Government what financial help they are willing to give to enable consulting engineers to offer on competitive terms feasibility studies for construction projects overseas which, if designed by British experts, could well result in substantial demand for British engineering and other exports.]

EARL FERRERS

My Lords, for just over two years now a Feasibility Fund has been at the disposal of the Department of Trade and Industry, for precisely this purpose. Up to £100,000 per year is available to help finance such studies, whether carried out by British consultants, engineering contractors or equipment suppliers. Since the inception of the Fund, 31 applications have been approved, to a total commitment of £98,000. The projects to which these 31 studies relate could offer good export opportunities to Britain totalling well over £100 million. The Fund is experimental, and the Government wish to test its value.

THE EARL OF LAUDERDALE

My Lords, in thanking my noble friend for that informative Answer, may I ask whether he thinks that the existence of this Fund is yet well enough known and, secondly, whether it is extensive enough to enable British consultants to compete with the highly subsidised competition of consultants from other countries when offering feasibility studies for major works abroad?

EARL FERRERS

My Lords, I very much hope that this new Fund, which, as I said, is only at the beginning, will become even more widely known; and possibly the noble Earl's Question may help towards that end. Whilst obviously the Department of Trade and Industry cannot advertise these services widely, they are mentioned in the handbook of export services and therefore should reach those who are interested in them. In reply to my noble friend's second question, as to whether the grants are sufficient to enable our consultants to compete with overseas competitors, I may say that they are arranged on a totally different basis, and we believe that the grants are of the greatest assistance.

LORD LEATHERLAND

My Lords, can the noble Earl tell us whether these grants and subsidies are part of the Government's policy of allowing British industry to stand on its own feet?

EARL FERRERS

My Lords, it is part of the British Government's policy to encourage exports.

LORD BYERS

My Lords, may I ask, as a matter of interest, why it is not Government policy to advertise this service?

EARL FERRERS

My Lords, what I meant was that it is obviously not easy to advertise widely facilities of a specific nature; but they are advertised to a degree which should enable them to reach the people concerned.

THE EARL OF LAUDERDALE

My Lords, may I ask the noble Earl whether he will take a further look at the publicity which is given, because there have recently been cases where well-known consultants whose attention has been drawn to this matter have actually forgotten about it? No doubt good would be served if greater publicity were given to this admirable service.

EARL FERRERS

My Lords, we shall certainly look into the matter of how best to bring to the attention of those involved the advantages to be gained; but if British consultants forget things, the Government can hardly bear the responsibility.

LORD MACPHERSON OF DRUMOCHTER

My Lords, could the noble Earl give me an assurance that Governments, particularly of developing countries, are aware of these feasibility studies. Because quite often when they are examining work they want this kind of feasibility study done.

EARL FERRERS

My Lords, obviously one cannot speak for Governments of other countries, but I think the practice is that where Governments wish a project to be undertaken they normally ask for a feasibility study to be done first.

LORD MACPHERSON OF DRUMOCHTER

My Lords, may I ask the noble Lord whether it would not be feasible for our overseas posts to make that information available to these Governments?

EARL FERRERS

My Lords, our overseas posts are extremely active in these matters, particularly the commercial attachés and so on, and it is their desire wherever possible to ensure that British industry and consultancy are brought to the notice of people abroad.