41. Mr. Bob Brownasked the Secretary of State for Economic Affairs if he will seek to introduce an additional type of inducement to industry seeking to establish in development areas as a transitional measure to mitigate the present high Bank Rate.
Mr. Alan WilliamsNo. The measures introduced on 18th November have already had regard to the special problems of Development Areas. The withdrawal of the Selective Employment Premium will not apply in these areas hence improving the differential advantage which they have from the Regional Employment Premium and banks are to continue to have regard to the Government's regional policies in their lending. Loans are available under the terms of the Local Employment Acts at moderate rates of interest.