HC Deb 08 July 1992 vol 211 cc259-60W
Mr. Salmond

To ask the Secretary of State for Scotland (1) what new assessments have been made of the social and economic impact of the closure of Ravenscraig on the economy of(a) Scotland, (b) Lanarkshire and (c) Motherwell district;

(2) what discussions he has had with (a) Scottish Enterprise and (b) other interested parties on the likely social and economic impact of the closure of Ravenscraig.

Mr. Stewart

We would not expect to be aware of all assessments of these matters, some of which could be carried out by a wide range of individuals and organisations with no direct connection with the Government. The economic needs of Lanarkshire were investigated in depth by the Lanarkshire working group last year; and the Scottish Office Industry Department, Scottish Enterprise and the Lanarkshire development agency, in collaboration, continue to keep under review the social and economic impact of the contraction of the steel industry in Lanarkshire. This work has informed the putting in place of a substantial package of measures to promote the economic development of Lanarkshire and continues to inform the process of developing and adding to that package. This process involves discussions with the local authorities in Lanarkshire and a range of other bodies. I and my right hon. Friend have discussed various aspects of this subject with the chairman of Scottish Enterprise and a wide range of other interested parties on various occasions.

Mr. Salmond

To ask the Secretary of State for Scotland what practical assistance he is providing to existing businesses in Lanarkshire which are directly and indirectly dependent on Ravenscraig for employment to assist them in diversifying their activities; and what level of expenditure is involved.

Mr. Stewart

The full range of Government programmes to assist industry in various ways is available to companies in Lanarkshire, which benefits from assisted area status. In addition, businesses in Lanarkshire which need to diversify will benefit from the assistance available from Lanarkshire development agency, which has received substantial additional resources in the current and past years as a result of the Government's commitment to fund additional activity to add impetus to the economic and physical development of Lanarkshire. The precise level of expenditure on assisting the general class of companies which the hon. Member describes will depend substantially on the level of demand for assistance from these companies.

Mr. Salmond

To ask the Secretary of State for Scotland what are the latest estimates he has made of the potential costs of reclamation of former steel sites at Ravenscraig; and what proportion of the cost is likely to be met by(a) British Steel and (b) public expenditure.

Mr. Stewart

Estimates of the potential costs of reclamation are a matter for consideration in the first instance by Scottish Enterprise and the Lanarkshire development agency. I am aware that additional information necessary to the production of any reliable estimate is being obtained in collaboration with British Steel. It is for British Steel to consider the level of expenditure relevant to reclamation which will fall to it. The size of any input from public expenditure will depend partly on that consideration and partly on the form which action in relation to the future use of the sites takes.

Mr. Salmond

To ask the Secretary of State for Scotland what discussions he has had with(a) British Steel, (b) Scottish Enterprise and (e) other interested parties on the reclamation of former steel sites at Ravenscraig.

Mr. Stewart

This is a matter for consideration in the first instance by Scottish Enterprise and the Lanarkshire development agency, which are in discussion with British Steel. The Scottish Office is kept in touch with progress.

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