HC Deb 15 February 1978 vol 944 cc267-8W
Mr. Wyn Roberts

asked the Chancellor of the Exchequer whether any of the firms blacklisted by the Government have works or staff in the development, special development or intermediate areas; and, if so, how many in each type of area.

Mr. Joel Barnett

Information on firms in breach of the pay guidelines is classified by the assistance and contracts given to them rather than the geographic location of their branches. I regret therefore that the information the hon. Member requests is not available.

Mr. Wyn Roberts

asked the Chancellor of the Exchequer if there are any firms in Wales on the Government's black list; and, if so, how many.

Mr. Joel Barnett

I would refer my hon. Friend to the reply given by the Prime Minister on 7th February to my right hon. Friend the Member for Jarrow (Mr. Fernyhough).—[Vol. 943, c. 1232–3.]

Mr. Arthur Lewis

asked the Chancellor of the Exchequer to what extent a firm which is compelled to increase its prices or payments to its workers by more than the Government's 10 per cent. guidelines to implement any Common Market ruling will be barred from obtaining Government contracts.

Mr. Joel Barnett

I am not aware that any such ruling exists. If there were one which had the force of law, employers would not be prevented from compliance by the new pay clauses in Government contracts.

Mr. Nicholas Winterton

asked the Chancellor of the Exchequer what methods his Department uses to ensure that the pay guidelines are observed by companies.

Mr. Joel Barnett

On the discretionary action which the Government may take in support of the pay guidelines, I refer the hon. Member to the reply given to the hon. Member for Kingston-upon-Thames (Mr. Lamont) on 24th November 1977.—[Vol. 939, c.854.]

Mr. Arthur Lewis

asked the Chancellor of the Exchequer whether, in view of the Government's ruling on their desire not to interfere or break contracts, any trade union that signs a contract with an employer for payments above 10 per cent. will be able to use this to safeguard the firm's Government contracts.

Mr. Joel Barnett

It is not now and has never been the policy of the Government that they should take any action with the intention or consequence of causing a breach of contractual or other legal obligations. However, the Government reserves their right, subject to any relevant statutory provisions, to place their contracts after taking into account whether an employer is or is not observing the Government's pay guidelines, with a view to controlling inflation.