§ Mr. WallaceTo ask the Secretary of State for Scotland if he will list the areas of the Highlands and Islands which will be eligible for the rural enterprise programme; what are the funding arrangements underpinning the programme; and if he will make a statement.
§ Lord James Douglas-HamiltonThe whole of the Highlands and Islands Development Board area is eligible for support under the rural enterprise programme. The intention is to target assistance on the areas in greatest need and to concentrate action on a limited number of localities at any one time to ensure that the resources available are applied to best effect.
Subject to the European Commission making a contribution as part of its funding of the rural development programme for the Highlands and Islands, the Government have agreed in principle to provide £8.5 million over the period 1990–91 to 1992–93. Funding in the years beyond 1992–93 will be decided in the annual public expenditure negotiations.
The programme is intended to boost the rural economy by helping farmers and crofters in the selected areas embark on new economic ventures in addition to their 415W traditional activities. Final details have still to be settled, including the selection of areas in which the programme will operate initially.