§ Mr. PawseyTo ask the President of the Board of Trade what action he plans to take to make it more attractive for companies to invest in research and development.
§ Mr. LeighThe Government believe that the research and development which is undertaken by industry itself is the most effective and the most likely to help them maintain competitiveness. Accordingly the role for Government, in this area, is to create the right environment in which companies invest more of their own resources in research and development. For example, the Government will continue their policy of reducing the burdens on industry—we now have the lowest corporation tax of any G7 or European Community country. The success of the Government's approach is demonstrated by the 38 per cent. growth, in real terms, of industry's own funded research and development between 1983 and 1990, the last year for which figures are available.