HC Deb 27 February 1964 vol 690 cc106-7W
44. Mr. Thornton

asked the Secretary of State for Industry, Trade and Regional Development what was the final total cost to Treasury Funds for the scrapping of machinery under the Cotton Industry Act 1959; and if he will state the amounts separately in respect of the spinning, doubling, weaving and finishing sections.

Mr. D. Price

The final total cost is not yet known but the best available estimate is £11,700,000. Estimates for the individual sections are:

Spinning £6,000,000;
Doubling £239,000;
Weaving £4,280,000; and
Finishing £1,140,000.

45. Mr. Thornton

asked the Secretary of State for Industry, Trade and Regional Development what is his latest estimate of the final total cost to Treasury funds of the re-equipment phase under the Cotton Industry Act, 1959; and if he will state the amounts separately in respect of the spinning, doubling, weaving and finishing sections.

Mr. D. Price

It is not yet possible to determine the total cost to the Exchequer as it will not be known until well after 8th July, 1964, how much eligible expenditure has been incurred. To date £7,245,994 has actually been paid out in re-equipment grants. Of this £3,512,342 has been paid to the spinning section, £145,390 to the doubling section, £3,049,277 to the weaving section and £538,983 to the finishing sections. I understand that, from inquiries they have made, the Cotton Board estimate that the industry will spend about £57 million under the Act; on this basis the Government liability would be £14¼ million.

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