HC Deb 17 June 1981 vol 6 cc371-2W
24. Mr. Myles

asked the Secretary of State for Scotland what incentives are available to businesses in the North-East of Scotland either for starting up or expanding.

Mr. Alexander Fletcher

Investment projects which create or safeguard jobs are currently eligible for regional selective financial assistance in the form of grants, under section 7 of the 1972 Industry Act, and exchange risk cover can be provided on loans from the European Investment Bank. Offers of such assistance must be accepted before 1 August 1982 in areas due to lose assisted area status next year. After that date, assistance under section 8 of the Industry Act will remain available as elsewhere in the United Kingdom for major industrial projects benefiting the economy.

Government assistance which is available throughout the United Kingdom, and therefore applies to the North-East, includes schemes to encourage innovation in manufacturing industry for projects involving research, design and development, new or significantly modified products or production processes, the application of technological advances in microelectronics and the more efficient use of energy. Assistance is also available from all of the schemes to encourage the start up and development of small firms.

Finally, grants are available from the European farm fund, FEOGA, towards the cost of projects which improve the marketing and processing of products in the agricultural and fishing industries. Vessel construction and improvement projects can receive assistance from the White Fish Authority and have also benefited from FEOGA aid.