§ Mr. Murtonasked the Minister of Agriculture, Fisheries and Food if he will make a statement on capital grants for fishing vessels.
§ Mr. PriorAs a consequence of the abolition of investment grants announced today by my right hon. Friend the Chancellor of the Exchequer the Government have decided that the rates of grant payable for deep sea vessels shall be reduced from 35 per cent. to 25 per cent. of the gross approved expenditure. For inshore and herring vessels the reduction is to be from 40 per cent. to 30 per cent. Construction abroad at costs judged not to compare fairly with those in United Kingdom yards will not be eligible for grant. The limits on loans for inshore and herring vessels are unchanged.
A scheme will be laid before Parliament to give effect to these changes and until it can be brought into operation the White Fish Authority and the Herring Industry Board have been directed to withhold approval of applications for grant received from today. Meanwhile applications for grant received up to yesterday and subsequently approved will be paid at the old rates.