HL Deb 28 July 1964 vol 260 cc1081-3WA
VISCOUNT HANWORTH

asked Her Majesty's Government:

Whether they intend to take further steps to stimulate the industrial and commercial applications of new technological developments with particular reference to the more extensive use of automation in British industry.

THE MINISTER OF STATE, BOARD OF TRADE (LORD DRUMALBYN)

The National Research Development Corporation was established in 1948 primarily to secure the effective exploitation of patents arising from inventions made in Government laboratories or those resulting from research supported by Government funds. The Corporation was also empowered in appropriate cases to assist the development of other inventions. In 1954 the Government extended by five years the period during which the Board of Trade could make advances to the Corporation. In 1958 this period was further extended to twenty years in all and the limit on capital advances was increased from £5 million to £10 million.

The Government now propose to seek powers to extend the scope and scale of the Corporation's work so that, in addition to the activities which it has undertaken in the past, it will be able to contribute more effectively to industrial innovation and development, particularly development in which industry takes a share of the risk.

For this purpose legislation will be introduced next Session to raise to £25 million in the first instance the Corporation's present limit of borrowing power from the Board of Trade. The legislation will also provide for a modification and extension of the financial and other conditions under which the Corporation operates so that, in partnership with industry, it will have greater freedom to promote the development and the commercial application of new techniques.

The Government have also made a study of the opportunities presented by the techniques of automatic control of industrial processes to strengthen the national economy and of the problems to which this may give rise. Action of many kinds is already being taken, both within the Government and outside, which will contribute both to the advancement of automation and to the identification and solution of any consequential problems. The Board of Trade have recently carried out a study of these activities, as a result of which the Government are satisfied that there is a need to co-ordinate, supplement and above all to give a strong forward impetus to this work. This will be the task of a small, high-level steering group of officials which is being established under my direction. As a first task the group will urgently review the progress of automation in this and other countries and the probable future development of these 'techniques. It will also, in consultation with the other interests concerned, draw up a co-ordinated programme of action for the promotion of the activities of the various governmental, professional, industrial and commercial bodies which are already at work in this field.

The Government believe that these measures, combined with those which my right honourable friend the Secretary of State for Education and Science will be announcing arising from the Report of the Committee on the Organisation of Civil Science, will make a substantial and practical contribution to solving the problem of how best to encourage and assist industry to apply commercially the results of research and technological advance.