§ 4.16 p.m.
§ Lord MELCHETT rose to move, that the draft Industries Development (Northern Ireland) Order 1978, laid before the House on 7th February, be approved. The noble Lord said: My Lords, this Order will transfer certain undertakings of the former Northern Ireland Finance Corporation from the Northern Ireland Development Agency to the Department of Commerce. What is actually transferred will be decided by the Department of Commerce, with the consent of the Department of Finance and in consultation with the Northern Ireland Development Agency.
§ The Agency was established in 1976 under the Industries Development Order as the successor to the Finance Corporation, with the task of developing Northern Ireland industry and creating employment. It has to act in a broadly commercial manner. However, under the terms of the 1976 Order, the property, rights and liabilities of the Finance Corporation, including responsibility for all of its undertakings, were vested in the Agency. These undertakings were carefully examined by the Agency and classified as either commercial or non-commercial.
§ The non-commercial cases were then put into three groups. First, those which the Department of Commerce directed the Agency to support for social and political reasons. Secondly, those which the Department of Commerce did not consider it was justified in directing the Agency to continue to support, and which are effectively in limbo; and, thirdly, those which are at present in receivership or liquidation. The Agency will retain responsibility for the undertakings which it has classified as commercial, and the rest will be transferred to the Department of Commerce.
§ The non-commercial cases take up a great deal of the Agency's time on largely unproductive work, and deflect the Agency from its main commercial functions. If the Department assumes responsibility for them, the Agency will be able to 1535 concentrate on its commercial role, as do its counterparts, the Scottish and Welsh Development Agencies. There will be no additional public expenditure as a result of these proposals. My Lords, I beg to move.
§ Moved, that the draft Industries Development (Northern Ireland) Order 1978, laid before the House on 7th February, be approved.—(Lord Melchett.)
§ On Question, Motion agreed to.