HC Deb 22 November 1963 vol 684 cc151-2W
Sir J. Eden

asked the Secretary of State for Industry, Trade and Regional Development what is the internal organisation of those divisions of his Department which are responsible for carrying out the necessary procedure before authorising grants to companies prepared to establish their factories in a development area; what negotiations involving other Departments have to take place; and what has been the average length of time between the original application for a grant and its authorisation.

Mr. Price

At Headquarters the administration of the Local Employment Acts, 1960 and 1963, under which the grants are made is dealt with by the division in my right hon. Friend's Department concerned with distribution of industry, in co-operation with its Finance Division. An Under-Secretary is in charge of each division. The Board of Trade Advisory Committee is consulted on all building grant cases and on those where application is made for grants under Section 4 of the Local Employment Act, 1960. Consultation also takes place with the regional office concerned and, where appropriate, with the Treasury and the Ministry of Public Building and Works. As regards the last part of the Question, I would refer to the answers given on 18th November to the hon. Member for Stockton-on-Tees (Mr. W. T. Rodgers).

Sir J. Eden

asked the Secretary of State for Industry, Trade and Regional Development, if he will set out the information required of a company, the questions that have to be answered and the facts that have to be disclosed, before a grant enabling the company in question to open a new factory in a development area is approved.

Mr. Price

Before an application for a building grant can be accepted for consideration the Board must satisfy themselves that the undertaking will provide suitable additional employment and that the cost involved from public funds is reasonable in relation to that employment. The Board also require details of the building, and such other information as will establish that the applicant is able to meet the balance of the cost of the factory without leaving himself insufficient finance for his requirements for the cost of plant and for working capital. The questions to be answered vary according to whether the applicant is a public company, a private company, or an individual or partnership. I am sending my hon. Friend a specimen of the questionnaire used in each case.

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