§ 31. Mr. Willeyasked the Secretary of State for Trade and Industry whether he will make a further statement on the Government's review of development area policy; and if he will state the Government's proposals to improve the situation in the development areas.
§ Mr. John DaviesI have nothing to add to the replies which I gave to the right hon. Member on 28th February.
§ Mr. David Reedasked the Secretary of State for Trade and Industry (1) how many inquiries from firms interested in projects in the development areas were dealt with by his Department last year and for each of the previous five years;
(2) how many inquiries for projects in development areas have been dealt with by his Department in the first two months of 1972; and how this compares with similar periods for each of the previous five years.
§ Mr. Anthony GrantI regret that the information in the form requested is not available. The numbers of requests for literature about the assisted areas received at headquarters from industrialists and their advisers were as follows:—
Number of Inquiries January and February Year 1972 … 2,211 — 1971 … 850 5,913 1970 … 1,260 4,517 1969 … 1,546 3,876 1968 … 388 4,206 1967 … 343 5,255 (4th February–25th February) (4th February–31st December) Figures are not available for periods before 4th February, 1967.
§ Mr. David Reedasked the Secretary of State for Trade and Industry what are the criteria used by his Department in granting special development area status.
§ Mr. Anthony GrantThe changes in special development area coverage announced by my right hon. Friend the Chancellor of the Exchequer on 18th February, 1971, were based on the need to deal more effectively with the problems of the older industrial centres which, with the impact of structural change, had206W been experiencing unacceptably high levels of unemployment.
§ Mr. David Reedasked the Secretary of State for Trade and Industry if he is satisfied that tax allowances are proving a sufficient inducement to attract industry to the development areas; and if he will make a statement.
§ Mr. Anthony GrantTax allowances are a matter for my right hon. Friend the Chancellor of the Exchequer. They are, however, only one of a number of incentives designed to encourage the development of industry in the development areas.
§ Mr. David Reedasked the Secretary of State for Trade and Industry whether he is satisfied with his Department's machinery for dealing with inquiries from firms interested in the development areas; what changes he contemplates; and whether he will make a statement.
§ Mr. Anthony GrantThe present arrangements seem to be working well, but if the hon. Member has any specific suggestions for improvement, I would be pleased to consider them.