Mr. Wilsonasked the Minister of Supply whether he is aware of the dissatisfaction which exists among scrap merchants which prevents their putting their full effort into the securing of scrap; how many firms are receiving the 1s. allowance per ton of scrap whether they handle it or not; and what is the amount received by these firms since the arrangement was entered into with the Ministry?
§ Mr. BurginI assume that the hon. Member is referring to arrangements entered into in 1937 between the British Iron and Steel Corporation, certain steel manufacturers and four firms of scrap merchants for the purpose of organizing and stimulating the supply of scrap for steelworks. The Ministry of Supply is not a party to these arrangements, but I understand that under them there is a levy on certain consumers of steel scrap of 1s. per ton, the proceeds of which are used for various purposes in connection with scrap, including payments to the four firms for services rendered in this242W connection to the steel industry. I am not aware, however, that the existence of this scheme is causing the degree of dissatisfaction which the hon. Member suggests; or is preventing scrap merchants from putting their full efforts into securing scrap. On the contrary, the steel industry is well satisfied with the working of the agreement, which gives it a substantial measure of control over the destination of scrap both for home consumption and for export. It is stated that the agreement has saved the industry large sums of money.