To ask the President of the Board of Trade what representations he has made to the European Commission regarding the proposed reduction in funds for the RESIDER II steel regions aid programme in 1998–99; and if he will make a statement. [38714]

The Commission has not proposed a reduction in the allocation to RESIDER, but on the contrary, an increase of 380 mecu for RESIDER, RECHAR, RETEX and KONVER together: of which 60 mecu is for the UK. The Government would have preferred a larger figure. The Commission's proposal will be discussed by the member states in the structural funds community initiatives management committee in due course, but no date has been set for the committee's meeting.