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Nationalised Industries (Purchases)

Volume 833: debated on Monday 20 March 1972

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asked the Secretary of State for Trade and Industry (1) if he is satisfied with the operation of his Department's policy of encouraging nationalised industries to favour manufacturers in development areas on the basis of fair competition, when placing orders for plant and equipment; and if he will make a statement;(2) what criteria he has suggested to nationalised industries in pursuit of his Department's policy of encouraging publicly owned concerns to buy the produce of manufacturers located in development areas on the basis of fair competition;(3) if he will publish in the Official Report a list of all orders valued at more than £100,000 placed by nationalised industries with firms located in development areas since the introduction of the policy of encouraging such purchases by publicly-owned industries on the basis of fair competition.

:The Government consider that contracts preference schemes are a useful aid in increasing the flow of orders to development areas. Purchasing is a matter for the commercial managements of the nationalised industries; but in placing orders they give preference, other things being equal, to firms in those areas. Information as to orders placed is not available.