HC Deb 13 December 1976 vol 922 cc481-2W
Mr. Sillars

asked the Secretary of State for Energy which European institutions or funds offer special financial assistance to local authorities or Government Departments operating in mining areas threatened by pit closures; what funds are available; and for what purposes they are intended.

Mr. Eadie

The European Coal and Steel Community is the principal source of funds and aid is available under the following headingsRe-adaptation grants may be paid for tide-over and re-settlement allowances in respect of redundant men. However, since comprehensive arrangements already existed in the United Kingdom before we joined the Community through the Redundant Mineworkers Payments Scheme and the National Coal Board's transfer, re-settlement and superannuation arrangements, ECSC grants take the form of contributions covering about 50 per cent. of the costs for up to two years. Similar contributions are made in respect of men retrained in Government approved training schemes. Re-Conversion loans may be made to individuals and private or public bodies—but not central Governments—for the construction of factories in areas where pit closures are expected. The present interest rate is about 10 per cent., though part of a loan can qualify for a 3 per cent. reduction. Under certain circumstances local authorities may apply for loans for infrastructure projects in connection with industrial sites. The European Social Fund gives grants for the retraining of workers—not specifically coal miners.