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House of Commons
Session 1997-98
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Standing Committee Debates
Scottish Grand Committee Debates

Promotion of Scottish Exports

Scottish Grand Committee

Monday 6 July 1998

(Edinburgh)

[Mrs. Ray Michie in the Chair]

Points of Order

10.30 am

The Chairman: Good morning everyone. The Secretary of State would like to raise a point of order.

The Secretary of State for Scotland (Mr. Donald Dewar): On a point of order, Mrs. Michie. Today is the 10th anniversary of the Piper Alpha tragedy and I think that the Committee would wish me to say one or two words about it. That devastating event was the worst ever catastrophe in the North sea oil industry. There has been progress since then: Lord Cullen's recommendations have been implemented by the industry and the Government have introduced new health and safety legislation. However, today's anniversary and the recent loss of life in Dundee remind us that danger is ever present, and of the debt that we continue to owe our offshore work force as it secures vital energy resources for the United Kingdom. We must always remember the sacrifice of those who died and the trauma and sadness that live on for the survivors and the relatives.

Mr. James Wallace (Orkney and Shetland): Further to that point of order and the Secretary of State's tribute, Mrs. Michie. For all of us, the moment when we learned of the terrifying scale of the Piper Alpha disaster is for ever imprinted on our memories. However, our memories cannot be compared with those of people who remember the loss of a loved one, or a work colleague, or who still bear the physical and mental scars of that tragic night. Even after 10 years, words areinadequate to convey comfort and condolence to those who still mourn and suffer.

As the Secretary of State said, we owe a tremendous debt to those who win resources from the North sea. Indeed, we were reminded of that again at the weekend with the death, in Dundee, of two people on an oil construction platform. For many years, our country and my constituency has benefited from the oil that was piped to the Flotta terminal from the Piper Alpha field. Possibly the greatest tribute that Members of Parliament could pay to those who died is to ensure that lessons are identified and learnt; that there is no complacent backsliding; and that the safety regime, which is required by law, matches the risks and dangers that are encountered by those who work offshore. We must ensure not only that laws are made, but that they are regularly monitored and enforced.

Mr. Alex Salmond (Banff and Buchan): Further to that point of order, Mrs. Michie. I wish to associate the Scottish National party with what has been said about Piper Alpha. It is entirely appropriate for us to remember that anniversary and to express our condolences, because we are responsible for the legislation that protects those who work offshore.

I should like to draw the Committee's attention to the positive response given by the Leader of the House to a question last Thursday that called for a parliamentary debate about the progress of the offshore safety regime, in the light of the Cullen recommendations. That debate should also examine the further legislative changes that could be made, especially in the corporate sector, to offer additional protection to those who risk their lives in the dangerous environment of the North sea.

The Chairman: Although those were not strictly points of order, I believe that everyone felt that the Committee should commemorate this important anniversary.

We now move on to oral questions. I remind the Committee that this item of business will end in three quarters of an hour from now.

Oral Answers to Questions

The Secretary of State was asked

Scottish Homes (Glasgow)

1. Mr. David Marshall (Glasgow, Shettleston): What discussions he has had with Scottish Homes regarding the future maintenance, repairs and landlord for the Scottish Homes properties in Hutchesontown, Glasgow; and if he will make a statement.[47532]

The Parliamentary Under-Secretary of State for Scotland (Mr. Calum Macdonald): Decisions on future maintenance and repairs are for Scottish Homes to consider, but I have been kept closely informed of the situation regarding its houses in Hutchesontown. I am especially grateful for the important and constructive role played by my hon. Friend in liaising between the tenants and the different parties involved in that matter.

Mr. Marshall: I thank my hon. Friend for his reply. As he is aware, there are almost 1,000 homes in Hutchesontown, of which only about half have been modernised, despite the fact that 10 years ago all the tenants were told that their homes would be modernised.

Does my hon. Friend agree that it is wholly unacceptable to condemn about 500 families to a wait of several more years before their homes are improved? That wait is due to the failure of any possible new landlord to secure funding for the transfer of those homes after Scottish Homes disposed of them. Will my hon. Friend ensure that that matter is resolved as soon as possible, even to the extent of considering the funding of these essential renovations by Scottish Homes?

Mr. Macdonald: Yes, I can give my hon. Friend an undertaking on that matter. As he knows, one of the difficulties was that the number of multi-storey blocks in the area made it difficult for us to make progress on the original proposals. Scottish Homes is examining all options for assisting the area and I will keep my hon. Friend fully informed.

Mr. Andrew Welsh (Angus): Given that the Government are investing 35 per cent. less in housing in their first two years than the Tories, and that public sector housebuilding has almost ground to a halt in Scotland, it is no wonder that the problems of Hutchesontown can be seen throughout the country. Why have the Government abandoned local authorities and the public sector?

Mr. Macdonald: I do not know where the hon. Gentleman acquired his figures. The Government have increased funding by £65 million since the election that is over and above the amount that we inherited. In previous years, there were substantial cuts in housing. We are considering the matter and will make an announcement after the comprehensive spending review.

EU Funds (Reform)

2. Mr. Archy Kirkwood (Roxburgh and Berwickshire): What representations he has had on the proposed reform of EU regional and structural funds; and if he will make a statement.[47533]

The Secretary of State for Scotland (Mr. Donald Dewar): Ministerial colleagues and I have received representations on EU regional and structural funds from the hon. and learned Member for Orkney and Shetland (Mr. Wallace) and seven leaders or councillors. I will ensure that their concerns inform the long and complex negotiations on Structural Fund reform that lie ahead.

Mr. Kirkwood: Does the Secretary of State acknowledge that following the successful visit to south-east Scotland by the Minister of State last week, it is absolutely necessary for the local economy to be underpinned by European structural funds after the current 5b programme runs out? I am sure that the Minister will have briefed the Secretary of State about the fragile state of the economy in the borders.

The Minister made the helpful commitment that the borders would be given a reallocation from any unused EC structural funds. Such funds must be deployed either by the end of next year, or, at the latest, early in the next century. When will the Government be able to tell us what reallocation might be available to the borders economy, so that people can plan under these difficult circumstances?

Mr. Dewar: Of course I acknowledge the hon. Gentleman's point. The Minister of State visited the borders, especially Hawick, because the Government appreciated the situation there. I have had many representations on the matter from people in the borders. I accept that structural funds are of genuine importance. At present, the borders is covered by objective 5b, which is comparatively modest, but has been of some help. Since 1994, about £23 million has come from that allocation. We have made it clear that unused funds can be redirected to the borders and that will be done. We are considering that matter.

Mrs. Margaret Ewing (Moray): Is the Secretary of State confident that the change in criteria will ensure that Scotland will still receive structural funds? There have been substantial changes in the boundaries that apply in England and Wales for example, Wales has been split into west and east Wales rather than north and south Wales. Can he reassure the Committee that the changes will not be to the detriment of Scotland?

Mr. Dewar: Obviously, we are at an early stage of the negotiations. At present, 85 per cent. of the population of Scotland is covered by one of the strands of the structural funds. It is well known that the Commission intends to reduce that coverage, not specifically in Scotland but throughout the European Union.

We have made it clear that we want a fair system, so we shall argue strongly the case both for existing areas and for a proper place for Scotland in the restructured structural patterns when the seven bands are reduced to three. I do not want to take a hard and fast line, other than to give a total undertaking that we will use our best endeavours to get the fairest possible deal, whether for the borders, the highlands and islands or for older industrial areas that suffer from the stress of the rundown of their economic structures.

Independent Commission on Local Government

3. Mr. Robert Maclennan (Caithness, Sutherland and Easter Ross): If he will request the independent Commission on Local Government to consider in particular the impact of the structure of local government in the highlands on its democratic accountability.[47534]

The Parliamentary Under-Secretary of State for Scotland (Mr. Calum Macdonald): The Commission on Local Government and the Scottish Parliament will take account of the particular needs and perspectives of different parts of Scotland, including the highlands, in conducting its work.

 
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