§ Mr. Nobleasked the Secretary of State for Industry if he will categorise the various forms of selective financial assistance available to industry through his Department; and if he will show how much has been paid out under each scheme each year since 1974 (a) by industry and (b) by region.
§ Mr. CryerThe following tables show offers and payments of regional selective financial assistance under Section 7, and through sectoral industry schemes, the accelerated projects scheme and the selective investment scheme under Section 8 of the Industry Act 1972. Except for the accelerated projects and selective investment schemes, where information is provided up to 30th April 1978, the other information is drawn from available statistics and covering the period 1974–77. Payments are shown on a cumulative basis since the breakdown by calendar years could only be provided at a disproportionate cost.
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SECTION 7: ASSISTANCE BY REGION/COUNTRY SINCE 1ST JANUARY 1974 Region/Country Offers (£ million) Payments (£ million) 1974 1975 1976 1977 Total 1974–77 Scotland … 16.4 28.7 21.1 18.0 84.2 46.2 Wales … 15.7 17.3 14.2 6.0 53.2 27.6 Northern … 6.2 10.9 14.1 18.1 49.3 25.9 North-West … 19.7 26.4 13.9 22.4 82.4 54.0 Yorkshire and Humberside … 6.7 3.9 9.3 4.6 24.5 17.6 East Midlands … 0.5 1.6 0.8 0.9 3.8 2.5 South-West … 1.9 0.5 4.5 2.9 9.8 3.6 Total … 67.1 89.3 77.9 72.9 307.2 177.4 Note: In addition about £95,000 has been offered in the West Midlands Region over the four-year period. Payments have totalled £91,000.
INDUSTRY ACT 1972 SFCTION 8: ASSISTANCE—SECTORAL INDUSTRY SCHEMES COMMENCED SINCE 1ST JANUARY 1974 Scheme Offers (£ million) Payments (£ million) 1974 1975 1976 1977 Total 1974–77 Machine Tool* … — — 3.3 8.0 11.3 1.7 Ferrous Foundry* … — — 21.7 41.1 62.8 8.1 Clothing* … — — 0.8 2.6 3.4 1.1 Poultry Meat* … — — 0.5 3.5 4.0 0.2 Paper and Board(a) … — — 1.2 5.4 6.6 1.5 Printing Machinery* … — — — 1.8 1.8 0.2 Textile Machinery* … — — — 0.5 0.5 — Electronic Components(b) … — — — 1.4 1.4 — Non-Ferrous Foundry(c) … — — — 2.6 2.6 0.1 Redmeat Slaughterhouse(d) … — — — 2.5 2.5 — Wool Textile 2* … — — — 0.1 0.1 — Total … — — 27.5 69.5 97.0 12.9 Notes: 1. Asterisk denotes scheme is closed to applications.
2. (a) Scheme closes on 30th June 1978.
(b) Scheme closes on 31st July 1978.
(c) Scheme closes on 31st July 1978.
(d) Scheme closes on 30th November 1978.
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SECTION 8: ASSISIANCE—SECTORAL INDUSTRY SCHEMES COMMENCED SINCE 1ST JANUARY 1974 BY REGION/COUNIRY Region/Country Offers (£ million) Payments £ million 1974 1975 1976 1977 Total 1974–77 Scotland … — — 3.9 4.6 8.5 1.5 Wales … — — 0.2 1.4 1.6 0.1 Northern … — — 1.8 6.4 8.2 0.1 North-West … — — 1.9 4.0 5.9 1.1 Yorkshire and Humberside … — — 4.6 11.3 15.9 2.8 East Midlands … — — 3.0 14.1 17.1 2.0 South-West … — — 2.0 5.6 7.6 0.9 West Midlands … — — 7.1 11.8 18.9 2.0 Eastern … — — 2.1 4.9 7.0 1.2 London and South-East … — — 0.9 5.4 6.3 1.2 Total … — — 27.5 69.5 97.0 12.9
INDUSTRY ACT 1972 SECTION 8: ASSISTANCE—ACCELERATED PROJECTS SCHEME—INDUSTRIAL SECTORS £ million Offers Sector 1975 Assistance 1976 Assistance Totals Assistance Payments (Up to 30th April 1978) Mining and Quarrying … … — 0.04 0.04 0.03 Food, Drink and Tobacco … … — 2.26 2.26 1.03 Coal and Petroleum Products … … — 20.20 20.20 0.35 Chemicals and Allied Industries … … 2.37 22.78(b) 25.15 4.73(b) Metal Manufacture … … — 4.37 4.37 2.24 Mechanical Engineering … … 4.9(a) 10.61 15.51 7.83(a) Electrical Engineering … … 0.19 3.13 3.32 1.48 Vehicles … … 3.67 3.80 7.47 3.01 Metal Goods not specified elsewhere … … — 1.86(c) 1.86 0.83(c) Textiles … … — 0.80 0.80 0.35 Leather, Leather Goods and Fur … … — 0.09 0.09 nil Bricks, Pottery, Glass, Cement, etc. … … — 2.48 2.48 1.13 Timber, Furniture, etc. … … — 0.30 0.30 0.15 Other Manufacturing industries … … — 0.10 0.10 0.05 Construction … … — 0.07 0.07 0.03 Other … … — 0.11 0.11 0.06 Total … … 11.13 73.00 84.13 23.30 Notes: (1) Assistance is in the form of interest relief grants with the exception of the following loans:
(a) £4.9 million (paid in full); (b) £450,000 (paid in full); (c) £360,000 (£240,000 paid so far).
2. The scheme was open to applications from 15th April 1975 until 31st July 1976.
SECTION 8: ASSISTANCE—ACCELERATED PROJECTS SCHEME—BY REGION/COUNTRY £ million Region/Country 1975 Assistance Offers 1976 Assistance Total Assistance Payments (Up to 30th April 1978) Scotland … … … — 2.10 2.10 1.11 Wales … … … 0.19 2.06 2.25 0.78 Northern … … … — 3.10(b) 3.10 1.30(b) Yorkshire and Humberside … … … 0.23 21.57 21.80 0.22 East Midlands … … … — 1.60 1.60 0.70 Eastern … … … 1.62 15.38(c) 17.00 3.20(c) London and South-East … … … 0.52 2.06 2.58 0.90 South-West … … … — 2.90 2.90 0.96 West Midlands … … … — 8.50 8.50 3.70 North-West … … … — 7.80 7.80 1.51 Other (more than one region) … … … 8.57(a) 5.93 14.50 8.92(a) Total … … … 11.13 73.00 84.13 23.30 Note: Loans included are as follows:
(a) £4.9 million (paid in full); (b) £450,000 (paid in full); (c) £360,000 (£240,000 paid so far).
INDUSTRY ACT 1972 SECTION 8: ASSISTANCE—SELECTIVE INVESTMENT SCHEME—INDUSTRIAL SECTORS £ million Sector 1977 Assistance Offers 1978 Assistance (Up to 30th 30th April) Total Assistance Payments (Up to 30th April 1978) Food, Drink and Tobacco … … 0.56 0.58 1.14 0.02 Chemicals and Allied Industries … … 5.00 0.17 5.17 0.30 Metal Manufacture … … 0.12 0.05 0.17 — Mechanical Engineering … … 1.22 0.12 1.34 — Electrical Engineering … … 0.15 0.24 0.39 — Vehicles … … 1.79 0.50 2.29 — Metal Goods not elsewhere specified … … 0.58 0.20 0.78 — Textiles … … 0.15 0.24 0.39 — Bricks, Pottery, Glass, Cement, etc. … … — 0.92 0.92 — Paper, Printing and Publishing … … 10.50 — 10.50 — Other Manufacturing industries … … 0.25 1.05 1.30 — Total … … 20.32 4.07 24.39 0.32 Note: The scheme opened for applications on 15th December 1976 and closes on 30th June 1978.
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SECTION 8: ASSISTANCE—SELECTIVE INVESTMENT SCHEME—BY REGION/COUNTRY £ million Region/Country Assistance Offers 1978 (Up to 30th April) Assistance Assistance Payments (Up to 30th April 1978) Scotland … … … 0.45 — 0.45 — Wales … … … — 0.75 0.75 — Northern … … … 14.11 — 14.11 0.10 Yorkshire and Humberside … … … 0.41 0.12 0.53 — East Midlands … … … 0.48 0.65 1.13 — Eastern … … … 0.75 0.37 1.12 0.20 London and South Eastern … … … 0.25 0.52 0.77 — South-West … … … 1.72 0.30 2.02 — West Midlands … … … 2.15 1.30 3.45 0.02 North-West … … … — 0.06 0.06 — Total … … … 20.32 4.07 24.39 0.32
§ Mr. Kenneth Clarkeasked the Secretary of State for Industry if he will list all payments made or commitments entered into under Section 8 of the Industry Act 1972 in the year 1977 giving the dates relevant thereto.
§ Mr. CryerI do not propose to list each of over a 1,000 projects for which offers or payments were made under Section 8. Details of each offer are published in "Trade and Industry", in accordance with arrangements announced on 31st July 1974, and progress reports on each scheme are contained in the annual reports on the Industry Act 1972. The following list shows the total amounts offered and paid under Section 8 schemes in 1977–78. In addition, £15.5 million was paid to Chrysler (UK) Limited under the agreement of 15th January 1976, and £0.5 million assistance was provided to Meriden Motorcycles Limited.
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Scheme Amounts offered in 1977–78 Amounts paid in 1977–78 (£ million) (£ million) Clothing 4.4 1.9 Electronic Components 4.0 0.2 Ferrous Foundry 45.8 7.0 Instrumentation and Automation 1.6 Nil Machine Tools 10.4 2.0 Non-Ferrous Foundry 4.6 0.3 Paper and Board 9.0 2.0 Poultrymeat 3.9 0.4 Printing Machinery 3.5 0.6 Redmeat Slaughterhouse 3.2 0.2 Textile Machinery 2.0 0.1 Wool Textile I 0.2 2.9 Wool Textile II 1.2 0.3 Accelerated Projects Nil 14.8 Selective Investment 23.3 0.1 Offshore Supplies 22.3 11.7 139.4 44.5
§ Mr. Kenneth Clarkeasked the Secretary of State for Industry if he proposes to attach conditions of compliance with any future policy on industrial democracy to offers of selective financial assistance under the Industry Act 1972.
§ Mr. Kenneth Clarkeasked the Secretary of State for Industry in what circumstances his Department is requiring undertakings to comply with future as yet undecided phases of pay policy from applicants for selective financial assistance under the Industry Act 1972.
§ Mr. CryerMy Department does not require undertakings to comply with future pay policy from applicants for selective financial assistance under the Industry Act 1972, but offer letters reserve the right to refuse payments if at the time for payment pay policy has not been complied with—as announced to the House in White Paper Cmnd. 6151.
§ Mr. Kenneth Clarkeasked the Secretary of State for Industry if he will give guidance to companies about the level of pay settlements in the autumn of the current year which might disqualify them from receiving payments of offers now being made of selective financial assistance under the Industry Act 1972.
§ Mr. CryerDiscussions about the possible shape of the next pay round are still at an early stage. It is too soon to say what the outcome of these discussions will be and thus how payments of selective financial assistance might be affected.