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Regional Employment Premium

Volume 934: debated on Monday 27 June 1977

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asked the Secretary of State for Employment what representations he has received from trade unions and the CBI in Wales concerning the effects of the abolition of regional employment premium to date.

I have received no direct representations from trade unions or the CBI in Wales concerning the effects of the abolition of regional employment premium, although my hon. Friend the Minister of State attended a meeting between my right hon. Friend the Secretary of State for Wales and representatives of the CBI (Wales) at which this matter was discussed.

asked the Secretary of State for Employment how many jobs he estimates were created in the United Kingdom and in Wales, respectively, by the regional employment premium during the period of operation of that scheme.

The availability of REP was only one of the factors taken into account by those manufacturing firms which created jobs in the development areas during the life of the scheme. It is, therefore, not possible to estimate reliably the number of jobs the creation of which could be attributed solely to the existence of REP.

asked the Secretary of State for Employment what is his estimate of the number of jobs lost to the present date in Wales as a result of the abolition of regional employment premium.

The withdrawal of REP was part of a package of industrial and employment measures designed to allocate available resources more effectively. The Government believe that the number of jobs placed directly at risk by its withdrawal is only a small proportion of those in respect of which it was paid. The net effect of the package as a whole was expected to be to reduce unemployment below what it would otherwise have been in the current year.