Regional Aid (Hansard, 26 February 1987)

§ Mr. D. E. Thomas
asked the Secretary of State for Trade and Industry if he will list, by region, the amount

Scotland Wales North East North West Yorkshire/Humberside East Midlands West Midlands South West Great Britain

At current prices (£ million)

1972–73 0.1 — 0.2 — 0.1 — — — 0.4

1973–74 5.0 4.5 2.8 5.2 3.4 0.6 — 0.2 21.7

1974–75 5.1 7.3 4.0 13.8 3.6 0.4 — 0.7 34.9

1975–76 25.0 10.3 3.3 20.1 3.6 0.9 — 1.3 64.5

1976–77 11.8 6.9 10.7 6.1 6.5 0.8 – 0.9 43.7

1977–78 11.9 6.3 5.5 13.5 4.5 0.6 — 1.0 43.3

1978–79 12.4 30.4 9.3 41.5 5.2 1.0 — 2.4 102.2

1979–80 15.0 18.8 10.8 24.0 6.8 1.0 — 2.7 79.1

1980–81 22.2 10.7 14.2 20.8 6.6 1.0 — 2.5 78.0

1981–82 19.4 9.2 20.7 16.6 6.9 1.0 — 1.7 75.5

1982–83 19.7 14.4 19.8 19.6 10.3 4.2 — 2.5 90.5

1983–84 23.7 15.3 13.8 15.2 8.4 8.7 — 2.0 87.1

1984–85 32.0 19.1 14.4 14.4 9.5 6.4 — 1.9 97.7

1985–86 48.0 22.5 15.4 13.3 7.6 3.9 4.8 2.3 117.8

1986–87¹ 21.0 18.5 11.0 10.6 6.3 1.2 6.0 1.0 75.6

At 1986 prices (£million)²

1972–73 0.4 — 0.9 — 0.4 — — — 1.7

1973–74 20.6 18.5 11.5 21.4 14.0 2.5 — 0.8 89.3

1974–75 17.6 25.2 13.8 47.6 12.4 1.4 — 2.4 120.4

1975–76 68.8 28.3 9.1 55.2 9.9 2.5 — 3.6 177.4

1976–77 28.7 16.7 26.0 14.8 15.8 1.9 — 2.2 106.1

1977–78 25.4 13.4 11.7 28.7 9.6 1.3 — 2.1 92.2

1978–79 23.8 58.5 17.9 79.8 10.0 1.3 — 4.7 196.0

1979–80 24.7 30.9 17.8 39.5 11.1 1.5 — 4.4 129.9

1980–81 30.8 14.8 19.6 28.9 9.2 1.0 — 3.5 107.8

1981–82 24.5 11.6 26.1 21.0 8.7 1.3 — 2.1 95.3

1982–83 23.2 17.0 23.3 23.1 12.2 4.9 — 3.0 106.7

1983–84 26.8 17.3 15.5 17.1 9.5 9.9 — 2.2 98.3

1984–85 34.6 20.7 15.6 15.6 10.3 6.9 — 2.0 105.7

1985–86 48.9 22.9 15.7 13.5 7.8 4.0 4.9 2.3 120.0

1986–87¹ 21.0 18.5 11.0 10.6 6.2 1.2 6.0 1.0 75.5

¹ 1986–87 data is provisional and for the first three quarters of the year only.

² Expenditure on a 1986 price basis for each year is calculated by applying the appropriate deflator to expenditure at current prices.

The figures for 1972–73 to 1986–87 exclude expenditure on the exchange risk guarantee scheme and aid for small and medium-sized firms under specific European regional development fund non-quota measures, as it is not possible to provide a breakdown of these items by English region.
For 1987–88 to 1989–90 it is not possible to provide a breakdown by English region as estimates of regional assistance are produced for England as a whole. The provision for regional selective assistance in England, Scotland and Wales, as incorporated in the public expenditure White Paper, is as follows:

England Scotland Wales Great Britain

At current prices (£ million)

1987–89 124 53 45 222

376W
granted in regional selective assistance under section 7 of the Industrial Development Act 1982 (a) in each financial year since the scheme's inception and (b) planned expenditure to 1989–90, providing figures for each at current and outturn prices.

§ Mr. Giles Shaw
The information requested by region for the years 1972–73 to 1986–87 is as follows:

England Scotland Wales Great Britain

1988–89 145 54 46 245

1989–90 126 44 47 217

At 1986 prices (£ million)¹

1987–88 118 50 43 211

1988–89 133 50 42 225

1989–90 113 39 42 194

¹ Expenditure on a 1986 price basis for each year is calculated by applying the appropriate deflator to expenditure at current prices.

§ Mr. Wigley
asked the Secretary of State for Trade and Industry if he will list the changes which have been made in the regulations regarding his Department's expenditure on regional aid to industry since 1979.

§ Mr. Giles Shaw
[pursuant to his reply, 25 February 1987]: The information is as follows:
377W

Date Change Authority

12 March 1979 A change in the status of an Assisted Area SI 269/1979

13 June 1979 Payments of Regional Development Grant (RDG) deferred for four months on new applications Announced by the Chancellor of the Exchequer in his Budget Speech of 12 June 1979.

18 July 1979 Two additional criteria introduced in the Regional Selective Assistance (RSA) scheme: a requirement to demonstrate a need for assistance (additionality) and an assessment of the net economic benefit likely to be derived from such assistance. Announced by the Secretary of State for Industry in a written answer on 17 July 1979.

18 July 1979 Various changes to the status of Assisted Areas. SI 837/1979

18 July 1979 Availability of RDG in Intermediate Areas discontinued subject to transitional provisions. Written answer of 17 July 1979 (see above); Industry Act 1980.

31 July 1979 Rate of RDG reduced from 20 to 15 per cent., subject to transitional provisions. SI 975/1979

12 December 1979 Various changes to the status of Assisted Areas. SI 1642/1979

1 April 1980 In-Plant Training Scheme introduced as a new form of RSA. Announced by the Secretary of State for Industry in the budget debate of 1 April 1980.

1 August 1980 Various changes to the status of Assisted Areas. SI 1110/1980

1 January 1982 Variations in the criteria for eligibility of plant and machinery for RDG. Announced in a written answer by the Secretary of State for Industry on 23 December 1981.

1 August 1982 Various changes to the status of Assisted Areas. SI 934/82

9 November 1982 Four-month deferment on RDG payments lifted. Announced by the Secretary of State for Industry on 9 November 1982 in the debate on the Queen's Speech.

29 November 1984 Responsibility for administering RDG in Scotland and Wales transferred from DTI to the Scottish and Welsh Offices. Announced in a written answer by the Prime Minister on 28 November 1984.

29 November 1984 Various amendments to the status of Assisted Areas, including the abolition of Special Development Areas. Co-operative Development Agency and Industrial Development Act 1984.

29 November 1984 RDG scheme discontinued, subject to transitional provisions. A new RDG scheme introduced with grants based on the provision of assets and jobs in approved projects in Development Areas; eligibility extended to certain service sector activities. and:
SI 1843/1984
1844/1984
1845/1984
1846/1984

29 November 1984 Office and Service Industries Scheme (part of RSA) discontinued. Parity given to manufacturing and service industries in RSA project grants. Relocation projects with no net increase in jobs normally to be excluded from RSA. Statement by Minister of State for Industry on 28 November 1984.

18 January 1985 Payments of old RDG deferred for four months on new applications. Announced by the Secretary of State for Trade and Industry in a regional policy debate on 17 January 1985.

15 January 1987 Payments of new RDG deferred for two months on new applications. Announced by the Secretary of State for Trade and Industry in a written answer on 14 January 1987.

378W 379W

Date Change Authority

17 February 1987 Simplified procedures and applications forms announced for RSA applications of £25,000 or under. Announced by the Minister of State for Industry in a written answer on 17 February 1987.

Note:
Change resulting from European Community regulations are not included.

	Scotland	Wales	North East	North West	Yorkshire/Humberside	East Midlands	West Midlands	South West	Great Britain
At current prices (£ million)
1972–73	0.1	—	0.2	—	0.1	—	—	—	0.4
1973–74	5.0	4.5	2.8	5.2	3.4	0.6	—	0.2	21.7
1974–75	5.1	7.3	4.0	13.8	3.6	0.4	—	0.7	34.9
1975–76	25.0	10.3	3.3	20.1	3.6	0.9	—	1.3	64.5
1976–77	11.8	6.9	10.7	6.1	6.5	0.8	–	0.9	43.7
1977–78	11.9	6.3	5.5	13.5	4.5	0.6	—	1.0	43.3
1978–79	12.4	30.4	9.3	41.5	5.2	1.0	—	2.4	102.2
1979–80	15.0	18.8	10.8	24.0	6.8	1.0	—	2.7	79.1
1980–81	22.2	10.7	14.2	20.8	6.6	1.0	—	2.5	78.0
1981–82	19.4	9.2	20.7	16.6	6.9	1.0	—	1.7	75.5
1982–83	19.7	14.4	19.8	19.6	10.3	4.2	—	2.5	90.5
1983–84	23.7	15.3	13.8	15.2	8.4	8.7	—	2.0	87.1
1984–85	32.0	19.1	14.4	14.4	9.5	6.4	—	1.9	97.7
1985–86	48.0	22.5	15.4	13.3	7.6	3.9	4.8	2.3	117.8
1986–87¹	21.0	18.5	11.0	10.6	6.3	1.2	6.0	1.0	75.6
At 1986 prices (£million)²
1972–73	0.4	—	0.9	—	0.4	—	—	—	1.7
1973–74	20.6	18.5	11.5	21.4	14.0	2.5	—	0.8	89.3
1974–75	17.6	25.2	13.8	47.6	12.4	1.4	—	2.4	120.4
1975–76	68.8	28.3	9.1	55.2	9.9	2.5	—	3.6	177.4
1976–77	28.7	16.7	26.0	14.8	15.8	1.9	—	2.2	106.1
1977–78	25.4	13.4	11.7	28.7	9.6	1.3	—	2.1	92.2
1978–79	23.8	58.5	17.9	79.8	10.0	1.3	—	4.7	196.0
1979–80	24.7	30.9	17.8	39.5	11.1	1.5	—	4.4	129.9
1980–81	30.8	14.8	19.6	28.9	9.2	1.0	—	3.5	107.8
1981–82	24.5	11.6	26.1	21.0	8.7	1.3	—	2.1	95.3
1982–83	23.2	17.0	23.3	23.1	12.2	4.9	—	3.0	106.7
1983–84	26.8	17.3	15.5	17.1	9.5	9.9	—	2.2	98.3
1984–85	34.6	20.7	15.6	15.6	10.3	6.9	—	2.0	105.7
1985–86	48.9	22.9	15.7	13.5	7.8	4.0	4.9	2.3	120.0
1986–87¹	21.0	18.5	11.0	10.6	6.2	1.2	6.0	1.0	75.5
¹ 1986–87 data is provisional and for the first three quarters of the year only.
² Expenditure on a 1986 price basis for each year is calculated by applying the appropriate deflator to expenditure at current prices.

	England	Scotland	Wales	Great Britain
At current prices (£ million)
1987–89	124	53	45	222

Date	Change	Authority
12 March 1979	A change in the status of an Assisted Area	SI 269/1979
13 June 1979	Payments of Regional Development Grant (RDG) deferred for four months on new applications	Announced by the Chancellor of the Exchequer in his Budget Speech of 12 June 1979.
18 July 1979	Two additional criteria introduced in the Regional Selective Assistance (RSA) scheme: a requirement to demonstrate a need for assistance (additionality) and an assessment of the net economic benefit likely to be derived from such assistance.	Announced by the Secretary of State for Industry in a written answer on 17 July 1979.
18 July 1979	Various changes to the status of Assisted Areas.	SI 837/1979
18 July 1979	Availability of RDG in Intermediate Areas discontinued subject to transitional provisions.	Written answer of 17 July 1979 (see above); Industry Act 1980.
31 July 1979	Rate of RDG reduced from 20 to 15 per cent., subject to transitional provisions.	SI 975/1979
12 December 1979	Various changes to the status of Assisted Areas.	SI 1642/1979
1 April 1980	In-Plant Training Scheme introduced as a new form of RSA.	Announced by the Secretary of State for Industry in the budget debate of 1 April 1980.
1 August 1980	Various changes to the status of Assisted Areas.	SI 1110/1980
1 January 1982	Variations in the criteria for eligibility of plant and machinery for RDG.	Announced in a written answer by the Secretary of State for Industry on 23 December 1981.
1 August 1982	Various changes to the status of Assisted Areas.	SI 934/82
9 November 1982	Four-month deferment on RDG payments lifted.	Announced by the Secretary of State for Industry on 9 November 1982 in the debate on the Queen's Speech.
29 November 1984	Responsibility for administering RDG in Scotland and Wales transferred from DTI to the Scottish and Welsh Offices.	Announced in a written answer by the Prime Minister on 28 November 1984.
29 November 1984	Various amendments to the status of Assisted Areas, including the abolition of Special Development Areas.	Co-operative Development Agency and Industrial Development Act 1984.
29 November 1984	RDG scheme discontinued, subject to transitional provisions. A new RDG scheme introduced with grants based on the provision of assets and jobs in approved projects in Development Areas; eligibility extended to certain service sector activities.	and: SI 1843/1984 1844/1984 1845/1984 1846/1984
29 November 1984	Office and Service Industries Scheme (part of RSA) discontinued. Parity given to manufacturing and service industries in RSA project grants. Relocation projects with no net increase in jobs normally to be excluded from RSA.	Statement by Minister of State for Industry on 28 November 1984.
18 January 1985	Payments of old RDG deferred for four months on new applications.	Announced by the Secretary of State for Trade and Industry in a regional policy debate on 17 January 1985.
15 January 1987	Payments of new RDG deferred for two months on new applications.	Announced by the Secretary of State for Trade and Industry in a written answer on 14 January 1987.