Assisted Areas Review: Wansbeck (Hansard, 22 February 1993)

§ Baroness Denton of Wakefield
My Lords, my noble friend will appreciate that I cannot anticipate completion of the review of the assisted areas map as a whole by making an announcement about a particular area. We intend to announce the results of the map review as soon as possible, taking account of the outcome of the coal review and after the necessary clearance by the European Commission.

§ Lord Peyton of Yeovil
My Lords, this is rather like waiting for the last judgment. Does my noble friend agree that continuing uncertainty could cause a deteriorating situation in the North East to turn into a disaster? Will she please remind her right honourable friends that they have in front of them proposals from the area whereby local action and co-operation could save many thousands of jobs?

§ Baroness Denton of Wakefield
My Lords, I would say to my noble friend that any of us who took 9 delegations on the question of the assisted areas map will be well aware of the importance of the early resolution of this matter. I am also particularly aware of the integrated needs in the Wansbeck area. However, I do not believe that anyone in your Lordships' House would wish to see expedient and hurried decisions made on the coal review, which is so important.

§ Lord Peston
My Lords, I am a trifle puzzled as to how the coal review comes into this matter. While agreeing with the noble Baroness that we must not rush decisions, does she agree that in the present economic state of the country we must proceed very rapidly indeed if, as the noble Lord, Lord Peyton of Yeovil, says, there are not to be very serious job losses and, for that matter, business bankruptcies? The noble Baroness said that she could not anticipate, but can she give the area at least a little more hope by indicating approximately when it might expect to hear that a decision has been taken? It is not just a question of being a special case, it is also a question of policy in general. Does the noble Baroness agree that the sooner we can get the matter decided, the better?

§ Baroness Denton of Wakefield
My Lords, I agree with the noble Lord, Lord Peston, that the sooner we have resolution of this matter the better. The issue of the coal review comes into it because that will obviously have an effect on specific areas and must be taken into account. I am sure that the noble Lord would not wish me to put a firm date to a matter on which the European Commission has an input.

Lord Bruce of Donington
My Lords, before the noble Baroness's department issues the final result of her review, will she bear in mind the necessity of there being absolute clarity as between the Commission and ourselves in this matter so that we do not get into a haggle over what is called "additionality" when the various grants are announced? The area concerned would not lightly forgive the Government if they imposed an undue delay as a result of continuous argument about the application of the regional development fund.

§ Baroness Denton of Wakefield
My Lords, I am happy to give the noble Lord, Lord Bruce, that assurance.

§ Lord Stoddart of Swindon
My Lords, from what the noble Baroness has said, do I understand that a review of the whole country is taking place in relation to development area status? If that is so, does that involve London and the South East, which now has an unemployment rate of 11.7 per cent. with 1.4 million people unemployed?

§ Baroness Denton of Wakefield
My Lords, the assisted areas map review covers the whole country and takes into account every area. It is based on identifying that third of the country with the worst unemployment figures.

§ Lord Peyton of Yeovil
My Lords, while the coal review is going through this very long period of gestation, will my noble friend bear in mind that other 10 things are happening and that before long those in the area who might be able to help will be losing a very valuable opportunity?

§ Baroness Denton of Wakefield
My Lords, the status does not change until the review. We are well aware of the need for urgency in this matter.