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Written Answers to Questions
Monday 4 December 1989
TRADE AND INDUSTRY
Golden Shares
Mr. Hoyle : To ask the Secretary of State for Trade and Industry if he will outline Government policy concerning golden shares held by his Department.
Mr. Redwood : Policy in respect of each special share is a matter for the Secretary of State holding that share, consulting colleagues as necessary.
In the case of the special shares held by my right hon. Friend, decisions on the rights attached to these shares will depend on the particular circumstances of each company.
Financial Services Act
Mr. Gareth Wardell : To ask the Secretary of State for Trade and Industry what steps have been taken to ensure that the Financial Services Act is being operated to the benefit of the investor.
Mr. Roy Hughes : To ask the Secretary of State for Trade and Industry what steps have been taken to ensure that the Financial Services Act is being operated to the benefit of the investor.
Mr. Redwood : I believe that the Financial Services Act has already brought benefits for investors, not least the SIB compensation scheme. However, investors also benefit financially when regulation of the firms with which they deal is least burdensome, and the amendments introduced in the new Companies Act should make the system of investor protection more flexible and cost-effective.
Regional Infrastructure Investment
Mr. Devlin : To ask the Secretary of State for Trade and Industry what representations he has received about regional infrastructure investment.
Mr. Douglas Hogg : My right hon. Friend and I are well aware of the concern in the regions about the quality of regional infrastructure, particularly in relation to transport links with the single market and the Channel tunnel. These are matters on which we make our views known to my right hon. Friend, the Secretary of State for Transport, and colleagues at the Department of Transport.
CBI
Mr. Eastham : To ask the Secretary of State for Trade and Industry when he next plans to meet representatives of the Confederation of British Industry to discuss the prospects for British business.
Mr. Douglas Hogg : My Department maintains regular and frequent contacts with the Confederation of British Industry at all levels on a wide range of business matters.
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Cheshire Business and Innovation Centre
Mr. Butler : To ask the Secretary of State for Trade and Industry what representations he has received about the funding of the Cheshire business and innovation centre ; and if he will make a statement.
Mr. Douglas Hogg : I have received representations from my hon. Friend and others who have asked for money from the European regional development fund to be made available for the Cheshire business and innovation centre.
The eligibility of Cheshire business and innovation centre for support from the European regional development fund will be decided in the light of a Community support framework which will determine the level of overall funding for an area and the priorities for support. Discussions on this are currently taking place.
Uranium
Mr. Hinchliffe : To ask the Secretary of State for Trade and Industry what quantity of uranium has been imported to Britain from Africa since 1979 ; and what were the national sources of these materials.
Mr. Douglas Hogg : The information requested is confidential and cannot be published.
Coffins
Mr. Ashton : To ask the Secretary of State for Trade and Industry if he will ask the Director-General of Fair Trading to investigate the price of coffins.
Mr. Redwood : If the hon. Member has any evidence of monopoly abuse or anti-competitive or restrictive trade practices which may be affecting the price of such goods he should draw it to the attention of the Director- General of Fair Trading direct.
Footwear Industry
Mr. Vaz : To ask the Secretary of State for Trade and Industry if he will make a statement regarding the present state of the British footwear industry.
Mr. Douglas Hogg : My Department is fully aware of the difficulties facing United Kingdom footwear manufacturers and of their continuing concern over low-cost imports, particularly from the Far East. The findings and recommendations of the Commission's Community-wide investigation into imports of footwear from Taiwan and South Korea have been circulated to member states. Those recommendations are now being urgently examined and we will reach a decision on appropriate action for the United Kingdom as soon as possible.
Industrial Assistance
Mr. Andrew F. Bennett : To ask the Secretary of State for Trade and Industry if he will list the aid given by his Department to firms in Tameside and Stockport.
Mr. Douglas Hogg : Aid to firms in Tameside and Stockport, available from the Department of Trade and Industry under the Enterprise Initiative, is as follows :
The Consultancy Initiative
Encourages small and medium sized firms to develop their key management activities by making use of private sector
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consultancy. In Stockport (a non-assisted area) and Tameside (an assisted area), the DTI will pay half and two thirds, respectively, of the costs of consultancy ;The Regional Initiative
Provides selective assistance for investment projects undertaken by firms located in assisted areas, such as Tameside. The regional initiative does not apply in Stockport or other non-assisted areas ; The Export Initiative
Offers a comprehensive range of support and advisory services to help firms and businesses develop their markets overseas ; The Research and Technology Initiative
Seeks to support and encourage collaborative research partnerships between business and centres of academic excellence. Additionally, through the annual small firms merit award for research and technology provides financial help to assist with the costs of developing new and novel business ideas.
The Enterprise and Education Initiative
Aims to strengthen and develop at the local level the interface between business employers and schools.
Additionally, firms in Tameside and Stockport can benefit from a broad range of support and technical services available from the DTI either to complement action taken under the Enterprise Initiative, or separately.
House of Fraser
Mr. Teddy Taylor : To ask the Secretary of State for Trade and Industry what is his policy on publishing the House of Fraser report (a) once legal proceedings arising out of it are completed and (b) after the serious fraud squad indicates that no prosecutions are appropriate ; and if he will make a statement.
Mr. Redwood : My right hon. Friend, the Secretary of State, has made it clear that it is his intention to publish the report at the earliest possible moment consistent with the even-handed administration of justice.
Hi-tech Industries
Mr. Flynn : To ask the Secretary of State for Trade and Industry what initiatives he plans for the improvement of hi-tech British industries.
Mr. Douglas Hogg : The Government's major initiative for helping United Kingdom hi-tech companies is LINK which supports collaborative projects of strategic research involving companies and science base institutions. There are now 21 LINK programmes in various fields with a total value of almost £300 million, of which Government will contribute 50 per cent. Within these programmes, over 500 projects are in the pipeline. Further programmes will be announced in due course.
Companies Act Investigations
Ms. Mowlam : To ask the Secretary of State for Trade and Industry if, for each investigation by his Department since May 1979 into United Kingdom companies, he will list (a) the name of the company investigated, (b) the date inspectors were appointed, (c) the date the inspectors reported to his Department, (d) whether prosecution was recommended, (e) the amount of fraud involved, (f) whether and when prosecution followed, (g) the outcome of the prosecution, (h) the date the inspectors' report was made public, (i) whether it was published in full or only in part, (j) the costs of the investigation and (k) the costs of the prosecution.
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Mr. Redwood : This information in the form requested could be provided only at disproportionate cost.
Information about Companies Act investigations is contained in the annual report prepared in accordance with the provisions of section 729 of the Companies Act 1985. Copies of the report are placed in the Library. Further information will be available in my Department's memorandum on DTI investigations provided to the Trade and Industry Select Committee which will be published by the Committee in due course. There have been 56 inspections under sections 432 and 442 since 1979.
Output Statistics
Mr. Dykes : To ask the Secretary of State for Trade and Industry what were the increases in real total output, as expressed in index numbers, for the following sectors between the latest available figures and the same period or periods in 1973 : steel, heavy and light, bricks, cement, passenger cars, commercial vehicles, construction, textiles and engineering.
Mr. Douglas Hogg : Percentage changes in output for the sectors concerned (or, in some cases, the nearest approximation for which figures are available) are given in the following table. The periods of comparison, unless otherwise stated, are the first three quarters of 1973 and 1989 respectively.
|Percentage
|change
------------------------------------------------------------------------
Crude steel |<1>-27
Bricks |-31
Cement |-15
Motor vehicles and parts |-36
Construction |<2>+3
Textiles |-35
Mechanical engineering |-10
Electrical, electronic and instrument engineering |+69
<1> 1989 quarter 1 and 2 compared with 1973 quarter 1 and 2.
<2> 1988 compared with 1973.
Enterprise Initiative
Mr. Cousins : To ask the Secretary of State for Trade and Industry if he will publish (a) tables showing the number of projects and total expenditure in each standard region under the enterprise initiative in each case expressed also as a percentage of the national total of expenditure and projects approved and (b) similar tables for each programme within the enterprise initiative.
Mr. Douglas Hogg [holding answer 30 November 1989] : The Enterprise Initiative is a comprehensive package of DTI services, including the consultancy initiatives, regional selective assistance (RSA), regional enterprise grants (REG), collaborative research programmes, the small firms merit award for research and technology (SMART), the enterprise and education initiative, the managing into the '90s programme and the export initiative.
The information requested for project based programmes is as follows :
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Number of Collaborative Research Projects approved and total
actual expenditure from 13 January 1988 to 31 October 1989
-----------------------------------------------------------------
Total |396 |- |97,416|-
North East |3 |0.8 |683 |0.7
North West |34 |8.6 |9,476 |9.7
Yorkshire and Humberside |21 |5.3 |3,977 |4.1
West Midlands |55 |13.9 |13,250|13.6
East Midlands |45 |11.4 |4,700 |4.8
South West |18 |4.5 |5,526 |5.7
Eastern |- |- |- |-
South East |212 |53.5 |59,127|60.7
Scottish Development
Association |8 |2.0 |677 |0.7
Welsh Development Association |- |- |- |-
Number of Collaborative Research Projects approved and total
actual expenditure from 13 January 1988 to 31 October 1989
-----------------------------------------------------------------
Total |396 |- |97,416|-
North East |3 |0.8 |683 |0.7
North West |34 |8.6 |9,476 |9.7
Yorkshire and Humberside |21 |5.3 |3,977 |4.1
West Midlands |55 |13.9 |13,250|13.6
East Midlands |45 |11.4 |4,700 |4.8
South West |18 |4.5 |5,526 |5.7
Eastern |- |- |- |-
South East |212 |53.5 |59,127|60.7
Scottish Development
Association |8 |2.0 |677 |0.7
Welsh Development Association |- |- |- |-
Number of Collaborative Research Projects approved and total
actual expenditure from 13 January 1988 to 31 October 1989
-----------------------------------------------------------------
Total |396 |- |97,416|-
North East |3 |0.8 |683 |0.7
North West |34 |8.6 |9,476 |9.7
Yorkshire and Humberside |21 |5.3 |3,977 |4.1
West Midlands |55 |13.9 |13,250|13.6
East Midlands |45 |11.4 |4,700 |4.8
South West |18 |4.5 |5,526 |5.7
Eastern |- |- |- |-
South East |212 |53.5 |59,127|60.7
Scottish Development
Association |8 |2.0 |677 |0.7
Welsh Development Association |- |- |- |-
Number of Collaborative Research Projects approved and total
actual expenditure from 13 January 1988 to 31 October 1989
-----------------------------------------------------------------
Total |396 |- |97,416|-
North East |3 |0.8 |683 |0.7
North West |34 |8.6 |9,476 |9.7
Yorkshire and Humberside |21 |5.3 |3,977 |4.1
West Midlands |55 |13.9 |13,250|13.6
East Midlands |45 |11.4 |4,700 |4.8
South West |18 |4.5 |5,526 |5.7
Eastern |- |- |- |-
South East |212 |53.5 |59,127|60.7
Scottish Development
Association |8 |2.0 |677 |0.7
Welsh Development Association |- |- |- |-
Number of Collaborative Research Projects approved and total
actual expenditure from 13 January 1988 to 31 October 1989
-----------------------------------------------------------------
Total |396 |- |97,416|-
North East |3 |0.8 |683 |0.7
North West |34 |8.6 |9,476 |9.7
Yorkshire and Humberside |21 |5.3 |3,977 |4.1
West Midlands |55 |13.9 |13,250|13.6
East Midlands |45 |11.4 |4,700 |4.8
South West |18 |4.5 |5,526 |5.7
Eastern |- |- |- |-
South East |212 |53.5 |59,127|60.7
Scottish Development
Association |8 |2.0 |677 |0.7
Welsh Development Association |- |- |- |-
Research and Development
Mr. Frank Field : To ask the Secretary of State for Trade and Industry if he will list the size of the research and development budget for each year since 1979 and the proportion of this budget spent in developing defence technology.
Mr. Douglas Hogg [holding answer 30 November 1989] : Department of Trade and Industry spend on science and technology since 1979 is as follows :
|£ million
-------------------------------
1979-80 |245
1980-81 |252
1981-82 |286
1982-83 |283
1983-84 |400
1984-85 |436
1985-86 |458
1986-87 |462
1987-88 |418
<1>1988-89 |407
<1> Estimated.
Notes
(1) Before June 1983 figures
relate to Department of
Industry.
(2) Source of figures: Cabinet
Office annual review of
Government funded research and
development.
There is no proportion of the budget spent in developing defence technology. Some limited support of research at Ministry of Defence establishments is carried out to promote civil applications of defence technology.
Telecommunications
Mr. Bermingham : To ask the Secretary of State for Trade and Industry what consideration his Department has given to the future deregulation of telecommunications ; and if he will make a statement.
Mr. Forth [holding answer 30 November 1989] : The regulatory framework for telecommunications is established by the
Telecommunications Act 1984 and certain policy statements made at that time. I have no current plans to make significant changes to this framework. I shall, however, continue to look for further opportunities within the framework for increasing competition.
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Footwear
Mr. Vaz : To ask the Secretary of State for Trade and Industry if he has any plans to investigate the dumping and subsidisation of imports of ladies footwear from various far eastern countries.
Mr. Redwood [holding answer 30 November 1989] : No. Under the Community's anti-dumping and anti-subsidy legislation it is the European Commission that carries out investigations in response to complaints from the Community industries affected. The Commission has recently completed an investigation into safeguard action against certain footwear imports from Taiwan and South Korea and has invited the views of member states.
Korea (Treatment of Animals)
Mr. Michael : To ask the Secretary of State for Trade and Industry whether he will raise with the President of Korea during his visit to the United Kingdom for trade talks his country's treatment of dogs and cats intended for human consumption and the need to end such practices before stronger trade links are developed.
Mr. Redwood [holding answer 1 December 1989] : While I share the hon. Member's concern about cruelty to animals, wherever it may occur, it is not an appropriate subject for trade talks. I am sure that the President of Korea will have noted the strong and justified views of the British public which were publicised extensively during his visit.
Information Engineering Technology Programme
Mr. Warren : To ask the Secretary of State for Trade and Industry if he will make a statement as to the reason for the delays in the allocation of funds to projects in the information engineering advanced technology programme.
Mr. Douglas Hogg [holding answer 1 December 1989] : About 80 per cent. of the offers under the first round of this programme have now been made. I am very conscious of the need to get the outstanding projects under way as soon as possible.
A major reason why offers have been delayed is that many companies have been slow to provide supporting information to explain the basis of their costs or to demonstrate their viability. Furthermore, many research consortia have needed reorganisation, following decisions by individual partners not to pursue the project as
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originally proposed. The Department tries to be helpful in such cases and allow a reasonable time for a revised proposal to be submitted.Liability Insurance
Dr. Cunningham : To ask the Secretary of State for Trade and Industry if he will introduce legislation to require all building surveyors to show proof of adequate liability insurance prior to any property surveying work being undertaken for members of the public.
Mr. Chris Patten : I have been asked to reply. This proposal, which reflects a recommendation in the Government's recent report on professional liability, will be examined as legislative opportunities become available.
OVERSEAS DEVELOPMENT
Zimbabwe
112. Mr. John L. Marshall : To ask the Secretary of State for Foreign and Commonwealth Affairs what is the current level of British aid to Zimbabwe.
Mrs. Chalker : In 1988 British gross bilateral aid to Zimbabwe amounted to more than £24 million, including assistance by the Commonwealth Development Corporation.
Ethiopia
113. Mrs. Gorman : To ask the Secretary of State for Foreign and Commonwealth Affairs, in the light of reports of famine in rebel-held areas of Ethiopia, how Her Majesty's Government will ensure that food supplies they provide will get through to those who need them.
Mrs. Chalker : The food that we have supplied to rebel-held areas has been channelled through British non-governmental organisations with proven capacity to deliver it to those in need. We propose to continue using these channels.
114. Mr. Kirkwood : To ask the Secretary of State for Foreign and Commonwealth Affairs what further steps he intends to take to alleviate the famine in Ethiopia.
Mrs. Chalker : I refer the hon. Member to the answer that I gave to my hon. Friend the Member for Dover (Mr. Shaw) on 4 December.
124. Mr. Hayes : To ask the Secretary of State for Foreign and Commonwealth Affairs what food aid is provided by Britain to the Tigre area of Ethiopia ; and what steps are being taken to make sure supplies reach their destination.
128. Mr. Jacques Arnold : To ask the Secretary of State for Foreign and Commonwealth Affairs if he will make a statement on emergency food supplies provided from British Government funds to Tigre and the surrounding area.
Mrs. Chalker : The food that we have supplied to rebel-held areas has been channelled through British non-governmental organisations with proven capacity to deliver it to those in need. We propose to continue using these channels. It is not the practice to reveal more precise details of such operations.
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Amazonian Rain Forests
115. Mr. Dalyell : To ask the Secretary of State for Foreign and Commonwealth Affairs whether he has made an assessment of the results of the visit to Brazil of the right hon. Member for Bath (Mr. Patten) to discuss Amazonian rain-forest issues with the Brazilian Government.
Mrs. Chalker : Its main purpose was to sign a memorandum of understanding on technical co-operation on environmental matters, which provides the framework for our proposed assistance programme with Brazil in this area. I wrote to the hon. Member on 3 November giving details of progress on the first projects.
Poland
116. Mr. Menzies Campbell : To ask the Secretary of State for Foreign and Commonwealth Affairs what economic aid is currently given to Poland.
Mrs. Chalker : My right hon. Friend the Prime Minister announced a know-how fund for Poland during General Jaruzelski's visit in June ; and my right hon. Friend the Secretary of State announced on 29 November that it would be doubled. The fund, in effect a technical co-operation programme, will total £50 million over five years. We expect to spend £3 million in the current financial year. My right hon. Friend also announced a contribution of $100 million to a stabilisation fund for Poland, and finance for an agricultural project costing some £15 million.
Vietnam
117. Mr. Alton : To ask the Secretary of State for Foreign and Commonwealth Affairs whether Her Majesty's Government have any plans to restore overseas aid to Vietnam.
119. Mr. Wallace : To ask the Secretary of State for Foreign and Commonwealth Affairs when he last reviewed Her Majesty's Government's aid and development embargo on Vietnam.
Mrs. Chalker : The Government's policy on Vietnam is kept under constant review. The announced withdrawal of Vietnamese troops from Cambodia is one consideration in resuming an aid programme to Vietnam. In his speech on 31 July to the international conference on Cambodia in Paris the then Secretary of State for Foreign and Commonwealth Affairs, the right hon. Member for Huntingdon (Mr. Major) said that Britain also expected the Vietnamese Government to fulfil their responsibilities towards their own people and to their neighbours before we would be prepared to consider contributing to a programme of assistance for Vietnam.
Non-governmental Organisations
118. Mr. Gerald Bowden : To ask the Secretary of State for Foreign and Commonwealth Affairs if he will make a statement about increases planned in the Overseas Development Agency joint funding scheme and other schemes benefiting United Kingdom non-governmental organisations operating in developing countries.
121. Mr. Burns : To ask the Secretary of State for Foreign and Commonwealth Affairs whether he plans to
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channel further aid funds through United Kingdom non-governmental organisations for projects in developing countries.Mrs. Chalker : I have recently decided to increase our joint funding scheme, under which we support non-governmental organisations' agreed long- term development projects by 25 per cent. next year to £20 million. I am also increasing support for the United Kingdom volunteer recruiting agencies--most notably VSO--by 10 per cent. to £14.3 million. We will, of course, also consider sympathetically requests for assistance from non- governmental organisations for disaster and emergency relief measures if the need arises.
Sir John Stanley : To ask the Secretary of State for Foreign and Commonwealth Affairs what were the principal categories of Overseas Development Administration grants to non-governmental organisations in 1988 -89 under the heading "Others" in his reply to the right hon. Member for Tonbridge and Malling on 16 November, Official Report, columns 467-70 ; and what sum was paid to each non-governmental organisation within each of these categories of grant.
Mrs. Chalker : Grants to non-governmental organisations under the heading of "Others" as contained in my reply on 16 November encompass a wide range of activity which cannot readily be categorised. The principal elements are the volunteer programme and certain development projects implemented by non-governmental organisations but financed from bilateral country programmes. The volunteer programme accounts for 52 per cent. of the "Others" figure and consists of :
F
Grant 1980 to 1989
|£
----------------------------------------------------------------------
British Executive Service Overseas |300,006
Catholic Institute for International Relations |945,000
International Voluntary Service |760,000
United Nation Association International Service |490,000
Voluntary Service Overseas |8,681,533
|-------
Total |11,176,539
Cambodia
120. Dr. Michael Clark : To ask the Secretary of State for Foreign and Commonwealth Affairs what assistance is being given to the people of Cambodia ; and if he will make a statement.
Mrs. Chalker : I refer the hon. Member to the answer that I gave to my hon. Friend the Member for Gravesham (Mr. Arnold) on 23 November at column 17.
Mr. Mullin : To ask the Secretary of State for Foreign and Commonwealth Affairs if he will name the diplomat and the Overseas Development Administration official who will be visiting Phnom Penh shortly ; and if he will make a statement.
Mrs. Chalker : I have nothing to add to the statement that I made in answer to a question by my hon. Friend the Member for Gravesham (Mr. Arnold) on 23 November at column 17. It is not the practice to name officials in these circumstances.
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Namibia
122. Mr. Robert Hughes : To ask the Secretary of State for Foreign and Commonwealth Affairs what plans his Department has to assist in infrastructure development in Namibia.
123. Mr. Pike : To ask the Secretary of State for Foreign and Commonwealth Affairs what aid Her Majesty's Government propose to make available as a priority to Namibia.
125. Mr. Steel : To ask the Secretary of State for Foreign and Commonwealth Affairs how much and what type of economic and development aid Her Majesty's Government gave in 1988, and are proposing to give in the current year, to Namibia.
Mrs. Chalker : British aid for Namibians in 1988 was just over £2 million. It focused on the development of English language teaching skills and scholarships for Namibians both inside and outside the country. This programme has continued in 1989. In addition we have contributed £1.15 million towards the refugee repatriation programme.
My right hon. Friend the Prime Minister told the House on 26 October at col. 1046 that we would provide assistance to Namibia after independence. The priorities for a future programme will be agreed with the new Government.
The Caribbean
126. Ms. Abbott : To ask the Secretary of State for Foreign and Commonwealth Affairs if he will make a statement on overseas aid to the Caribbean.
Mrs. Chalker : Our bilateral aid programme to the Commonwealth Caribbean has been running at over £30 million a year for some time. Last year (1988-89) it reached £51 million, mainly because of a substantial increase in investment by the Commonwealth Development Corporation. This year expenditure is expected to remain at a high level.
A new feature is the capital aid programme for Guyana (plus increased technical co-operation) to support that country's economic recovery programme ; we expect to spend some £12 million in loans, grants and technical co-operation in Guyana this financial year. Hurricane damage has required an exceptional response. Last year we gave Jamaica a grant of £3 million after Hurricane Gilbert struck. This year, in the wake of Hurricane Hugo, we have assisted Antigua, St. Kitts and the British Virgin Islands and particularly Montserrat, where we have already spent or committed around £4.5 million in relief and reconstruction aid.
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