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Deregulation

4. Mr. Kevin Hughes: To ask the President of the Board of Trade how many items of legislation relating to his Department have been repealed since the beginning of the deregulation initiative in January 1994; and how many statutory instruments were introduced over the same period. [5783]

The Minister for Small Business, Industry and Energy (Mr. Richard Page): Since 1 January 1994, my Department has revoked 93 regulations and over the same period introduced 315 statutory instruments.

Mr. Hughes: Does the Minister agree with the 19 Conservative Back Benchers who recently signed an early-day motion pointing out that the Government have, in fact, introduced 13 times as many statutory instruments as they have issued deregulation orders? Is that not another example of the Tory Government saying one thing and doing another?

Mr. Page: The hon. Gentleman does not quite grasp the whole principle of the deregulation that is taking place. We live in an increasingly complex world, but I have to point out that, although he might try to take comfort from the 315 statutory instruments, 65 were deregulative, and so reduced the burdens, and 26 were fee orders. I hope that when, in the fulness of time, we come to legislation, we can give the parliamentary draftsmen the ability to give authority to the Secretaries of State to increase fees--say, in line with inflation--within tight regulative limits.

The other side of the measures is that they are methods of consumer protection. Would the hon. Gentleman want the removal of those regulations that give protection against babies' dummies containing carcinogenic materials or of those that protect consumers from unsafe electrical and gas appliances? There is a great deal of consumer protection in those regulations.

Mrs. Roche: Small businesses up and down the country would have been longing for the Minister to sit down, not because they were not interested in hearing him, but because they wanted him to be put out of his misery.

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Given that the Minister does not agree with the 19 of his Back Benchers and a former Minister for Trade who have views on deregulation that differ from the Government's, what has he to say to the Institute of Directors which, in its recently published and well-received report, said that the problem with regulation and burdens on small business is that there are too many regulations, the rules are too complicated and they are not enforced in a fair or consistent way? Given the Government's record, does that not show why small businesses all over the country are saying that enough is enough with this Government?

Mr. Page: As the small business Minister, I am more than aware of the effect that regulations have on small business. The hon. Lady conveniently puts to one side the initiatives taken by my right hon. Friends the Prime Minister, the Deputy Prime Minister and the Secretary of State. In fact, more than 750 regulations have already been repealed or amended--more than 400 in the past 12 months. We expect the total to rise by 1,000 at the end of this year.

I look the hon. Lady straight in the eye as I tell her that we have put in place a system of regulation to make sure that anything coming forward is looked at to make sure that it has a cost in relationship to benefit, that a risk analysis has taken place and that there is no gold-plating. In addition, of course, we consult with appropriate bodies.

Even our representations in Europe are having some effect. Mr. Jacques Santer has said that he wants to see fewer and better regulations coming forward, and that is exactly what is happening. The Government are looking after small business.

Working Time Directive

5. Dr. Goodson-Wickes: To ask the President of the Board of Trade what consultations he has had over health and safety aspects of the working time directive. [5784]

Mr. John M. Taylor: I continue to believe that the measures in that directive are mainly about terms and conditions of employment and not about health and safety, but my Department will be initiating a thorough consultation process very shortly.

Dr. Goodson-Wickes: Will my hon. Friend confirm that the working time directive, which is causing much concern to successful businesses in my constituency, was adopted as a health and safety measure? In the light of this country's admirable record on health and safety, is it not ridiculous that social engineering is being introduced under the emotive guise of health and safety? Will my hon. Friend assure the House that the Government, at the intergovernmental conference, will defend vigorously our admirable opt-out and do away with that most unwelcome measure?

Mr. Taylor: I give that assurance. My hon. Friend has a great deal of experience in these matters. He is correct to say that that directive is wrong in law, has the wrong

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treaty base and is wrong in practice. Moreover, these things should be decided here, not in Brussels, and should be decided here between employer and employee.

Mr. Clapham: If the Minister believes that the directive is not related to health and safety, will he tell the House why there are more accidents at the end of a long shift than at the beginning?

Mr. Taylor: I think it is pertinent to recognise that in this country, we have the widest spread of working hours in Europe. Our average working hours are pretty much the same as those in the rest of Europe: some people work shorter hours in this country; some work longer. It is part of the flexibility of our labour market.

Utilities (Privatisation)

7. Mr. Dover: To ask the President of the Board of Trade what assessment he has made of the impact of privatisation on the performance of the utilities. [5786]

The Minister for Industry (Mr. Greg Knight): Privatisation, with independent regulation, has brought substantial benefits to the consumer in the form of lower prices, higher standards of service and wider choice, and it has led to a welcome improvement in efficiency.

Mr. Dover: Will the Minister confirm that, in addition to all those benefits, there has been an enormous increase in capital investment--indeed, in the water industry, £600 or more per household throughout the country? That has meant that North West Water in my area has been much more able to solve any water contamination problems and to improve water quality across the board. That has been nothing but good for local residents.

Mr. Knight: My hon. Friend makes a good point. Since 1990, the water companies have invested about £15 billion and they intend to invest about £24 billion in future years to improve water quality. All that will be done at no cost to the taxpayer.

Mr. Wigley: Is the Minister aware of growing unease among many people that the maintenance and safety of power lines are deteriorating? Not only was that manifested in the problems during the recent cold weather, but the Department of Trade and Industry must be aware that a farmer in my constituency had several of his livestock electrocuted and his wife injured by electricity leaking from such power lines. Will the Minister examine the standard of regulation to ensure that no corners are cut in maintaining the standard of power lines, thereby maintaining the safety of those who might otherwise be seriously injured?

Mr. Knight: Currently, the electricity companies invest about £1 billion a year, so there is record investment. However, the hon. Gentleman raises a very important

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point. I am not aware of the circumstances of the case in his constituency; if he would care to send me details, I will certainly consider the matter.

Mr. Gallie: Will my right hon. Friend comment on the safety record of the privatised electricity suppliers? Have not accidents in those industries plummeted since privatisation?

Mr. Knight: My hon. Friend is right: higher investment levels have generally led to better safety.

Mr. Pike: Does the Minister recognise that companies such as North West Water, which have a monopoly to connect sewers and water supplies for builders building new properties, are ripping off those builders and charging about 10 times a realistic price? Is it not time that that rip-off was stopped, so that people building houses can get a fair deal?

Mr. Knight: If the hon. Gentleman really wanted a detailed reply to that question, he would have provided specific details. I invite him to do so, and I shall look into it.

Small Firms

8. Mr. Bellingham: To ask the President of the Board of Trade when he next expects to visit business links in East Anglia to discuss measures to encourage small firms.[5787]

Mr. Page: I have no plans at present to visit business links in East Anglia. However, my right hon. Friend the Minister for Industry was in Norwich on Monday last, when he met very many small business men and several representatives from business link.

Mr. Bellingham: I am grateful to the Minister for that reply. His right hon. Friend the Minister for industry went down very well when he visited Norwich, and I have had good feedback from business link and the local training and enterprise council.

Is the Minister aware that the business link in my constituency, which recently took over from the enterprise agency, has already established itself as an excellent one-stop shop for small and medium-sized businesses? Is he further aware that the link is currently in the process of merging with the local training and enterprise council and the chamber of commerce? Can he assure me that, when such mergers take place, the focus of business links will not be lost? Can he tell me the precise role of business links in reducing unemployment in constituencies like mine?

Mr. Page: The business link in Norwich began a year and a week ago, and I have had reports of significant progress. It will supply the drive to ensure that small businesses in the area operate to the high professional standards necessary to compete in the world's industrialised markets. I know that the business link is working hard to put together a series of packages to identify finance for small firms. I also know that unemployment in my hon. Friend's constituency--

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I looked it up before I came here--is as low as 5.5 per cent. That is still far too high, of course, and I hope that the business link initiative will bring it down much lower.

Mr. Mackinlay: Is not the problem for small businesses in Norwich, Peterborough, Basildon, Harlow and many other constituencies that will be in the cockpit at the next general election the fact that far too many people are unemployed and therefore lack the purchasing power to sustain small businesses? Is not the answer to get Britain back to work, so that people have money to spend and can actually pay taxes to fund essential public services as well as purchasing the services and products of small businesses?

Mr. Page: I am glad to note that the hon. Gentleman is such a firm supporter of Conservative party policies. Under this Government unemployment has dropped steadily for the past few years: we are going in a completely different direction from the rest of Europe and I am convinced that it is the small business sector that is driving that success forward. What would kill that sector would be the minimum wage and the social contract that the Labour party wants to impose on small businesses.

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