Q14. Earl of Dalkeithasked the Prime Minister whether he will arrange joint discussions between the Secretary of State for Economic Affairs, the Chancellor of the Exchequer, the Secretary of State for Scotland, the President of the Board of Trade and Scottish bankers with a view to devising new methods of exempting the Scottish economy from the deflationary measures, including high Bank Rate, that are specifically designed to affect those geographical regions that are the source of an overheated economy.
§ The Prime MinisterNo. The measures introduced on 18th November have already had regard to the special problems of development areas, and in one important case—the change in Selective Employment Tax—provide a positive new incentive to industrial expansion in the development areas. The interpretation of the guidance on bank lending, including the request to pay regard to Government policies on regional development, is being discussed by the Scottish banks with the Bank of England.