HL Deb 02 December 1980 vol 415 cc324-6

2.42 p.m.

Lord Brockway

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

The Question was as follows:

To ask Her Majesty's Government what actions they are taking to prevent the eviction of small businesses from Crown Land in Hong Kong.

Lord Trefgarne

My Lords, this is a matter for the Hong Kong Government, in which Her Majesty's Government would not wish to intervene.

Lord Brockway

My Lords, surely Her Majesty's Government have some responsibility for what goes on in Hong Kong. Is the noble Lord aware that the evictions are likely to take place next Thursday? Do they not relate to 126 factories—run by small businessmen—which have been rented for the last 10 years? Cannot Her Majesty's Government do something to suggest that these evictions be prevented?

Lord Trefgarne

My Lords, the Hong Kong Government have a duty to conduct their internal and economic affairs in the manner most beneficial to the people of the territory. The Hong Kong Government have successfully followed such a policy of not subsidising industry, and therefore Her Majesty's Government see no reason to intervene.

Lord Brockway

But, my Lords, is it not the case that the merchants themselves have made very reasonable proposals, including an offer that if the Government will provide sites for the 126 factories and adequate compensation they will agree to co-operate?

Lord Trefgarne

My Lords, those factories suitable for reprovisioning in what is called a housing authority flatted factory have been offered such accommodation plus an ex gratia allowance of 15 Hong Kong dollars per square foot of the area previously occupied. This applies, indeed, to 61 of the 129 operators in the particular area to which the noble Lord referred. Those same operators may alternatively claim an ex gratia allowance of 34 Hong Kong dollars per square foot without relocation in a flatted factory.

Lord Orr-Ewing

My Lords, will my noble friend perhaps point out to the House that the Hong Kong Government and our Governor there, Sir Murray MacLehose, have done a fantastic job in expanding the housing facilities in that colony to meet the needs of a population which has increased from 2½ million a decade ago to nearly 6 million now? This is a tremendous achievement which has been accomplished only by the sort of changes which I am afraid force people to move so that other people can be accommodated.

Lord Trefgarne

My Lords, my noble friend is quite right. The fact is that the squatter sites due for clearance are urgently required for redevelopment. The Tai Wo Ping site, as it is called, will become a public housing estate accommodating no fewer than 7,000 people. This is an integral part of Hong Kong's housing programme, and any delay would result in a serious shortfall in the number of new flats available in 1982 and 1983.

Lord Avebury

My Lords, will the noble Lord suggest to his right honourable friend the Prime Minister that Mr. Heseltine be replaced by Sir Murray MacLehose?

Lord Brockway

My Lords, may I ask the Minister whether he is aware that all of us appreciate what the Hong Kong Government have done in relation to housing; but, arising from his previous answer, is it not the case that the compensation offered is not only inadequate because of the factory values but pays nothing for the removal to new factories and pays nothing for the redundancy payments which will have to be made to 800 workers?

Lord Trefgarne

I do not agree, my Lords. I think the compensation is generous. In addition to the arrangements which I referred to earlier, some operators are entitled to an ex gratia allowance of 53 Hong Kong dollars per square foot; that is, those operators who are not offered, or whose trades are not suitable for, the so-called flatted factories to which I referred earlier. Furthermore, the Hong Kong Government have stated that there are short-term tenancies and waivers available in the new territories for nonpolluting industries.