HC Deb 26 November 1973 vol 865 cc9-12W
Mr. Parry

asked the Secretary of State for Trade and Industry if he is satisfied with the working of the Industry Act 1972 ; and if he will make a statement.

Mr. Anthony Grant

Yes. Over 18,800 applications were received up to 26th October for regional development grants under Part I of the Act and £55 million has been paid out.

Up to 31st October nearly 1,800 applications for regional selective assistance under Section 7 were received and offers exceeding £76.5 million were made. These offers involved 51,000 new jobs and the maintenance of another 6,500 jobs.

Under Section 8, 35 applications were received and payment of nearly £6.5 million made.

Over 330 applications were received under Section 11 of the Act and payments of construction grants amounted to £22 million.

By the end of September loans of £608 million in respect of 279 ships were covered by guarantees under Section 10 of the Industry Act 1972 and Section 7 of the Shipbuilding Industry Act 1967

Mr. Parry

asked the Secretary of State for Trade and Industry (1) how many grants have been made in the United Kingdom under the Industry Act 1972 to the latest available date ;

(2) if he will list in the OFFICIAL REPORT the number of grants made under the Industry Act 1972 to development areas to the latest available date ;

(3) if he will list in the OFFCIAL REPORT the number of grants made under the Industry Act 1972 to special development areas to the latest available date ;

(4) how many grants have been made under the Industry Act 1972 to firms on Merseyside to the most recent available date.

Mr. Anthony Grant

To 31st October the following number of grants were paid :

Firms located in Part 11 of the Act Part III of the Act
United Kingdom 120 288
Development areas 25 Not available
Special development areas 17 Not available
Merseyside 4 12
Figures for regional development grants are not separately analysed in terms of individual grants.

Mr. Parry

asked the Secretary of State for Trade and Industry (1) what is the total amount of financial assistance given under the Industry Act in the United Kingdom to the latest available date :

(2) what is the total amount of financial assistance given under the Industry Act to firms on Merseyside to the latest available date.

Mr. Anthony Grant

The total payments under the Industry Act to 31st October (26th October in the case of regional development grants) were £187.1 million.

Statistics relating to individual grants under Part I of the Act are not yet available for Merseyside and loans under Part III cannot be specifically allocated to particular areas of the United Kingdom. These together amounted to £128.8 million.

Under Part II and Section 11 of the Act £58.3 million has been paid in loans and grants. The corresponding figure for Merseyside is approximately £6.1 million.

Mr. Parry

asked the Secretary of State for Trade and Industry how many applications have been made for assistance under the Industry Act 1972 by firms on Merseyside ; how many have been granted ; and how many refused.

Mr. Anthony Grant

Up to 31st October firms on Merseyside had submitted applications for 66 projects under Section 7 of the Act ; 21 offers have been made, 13 applications withdrawn and five applications were rejected.

For the same period 12 applications were made under Section 11 all of which were granted.

Corresponding figures relating to regional development grants are not yet available but £5.4 million has been paid to Merseyside firms for grants in respect of plant and machinery. Additional payments have been made in respect of building grants.

Mr. Laurance Reed

asked the Secretary of State for Trade and Industry what is the effect of the exclusion of "pipelines" from the definitions of "machinery or plant" and "works" towards the cost of which regional development grants may be made under Part I of the Industry Act 1972.

Mr. Chataway

The general effect is that pipes outside qualifying premises are not eligible for grant, but most pipes within the boundaries of these premises are eligible. Ineligible pipelines include those for conveying materials or products which do not serve the premises on which they are located and a small number of other pipes which may fall within the

Thousand Tonnes
January–September 1970 January–September 1971 January–September 1972 January–September 1973
Domestic Production :
Food wrapping papers 58.7 43.7 41.4 40.4
United Kingdom Imports :
Food wrapping papers 27.2 29.1 28.3 31.4
of which :
Greaseproof and imitation greaseproof paper 20.6 19.4 20.7 20.8

strict definition of ineligible pipelines but where the amount of grant involved is unlikely to be commensurate with the administrative task of identifying them. It would accord with the intention and general approach of the regional development grant scheme to regard all pipes on qualifying premises as eligible with the exception of pipelines which do not serve the premises on which they are located, and I am proceeding to pay grant on this basis, pending an appropriate amendment to the Act.