HC Deb 08 March 1967 vol 742 cc310-1W
147. Sir C. Osborne

asked the Minister of Technology why no decision or action has been taken on the scheme sent to him by the machine tool industry nearly two years ago, which was designed to prevent the slump that now faces the industry.

Mr. Benn

The Machine Tool Trades Association's scheme for providing incentives to plant modernisation has been considered several times, most recently by the Working Party set up by my predecessor in June, 1965, to examine the problems arising from the cyclical pattern of machine tool orders. In its report published in June, 1966, the Working Party, which included representatives of the machine tool industry recommended that the Association's scheme should not be introduced at that time.

Since the Working Party was set up the Government has brought into action the system of investment grants and has recently increased the level of these grants for purchases of plant and machinery delivered before the end of 1968, to give further encouragement to investment in new plant and machinery. Various other measures to help the industry are now in operation.