asked the President of the Board of Trade if he will give further consideration to the need for an advance factory being constructed within the burgh of Greenock; and if he will make a statement.

No, Sir. The claims of the burgh of Greenock have been given very careful consideration, but for the present I am not prepared to go beyond the eleven Scottish advance factories announced since last June.

Is the right hon. Gentleman aware that that is a very disappointing answer, especially having regard to the fact that today's total of unemployment is the highest since the war, which is very sad for a town like this? Has the right hon. Gentleman considered how he will bring to the town or the area ancillary industries to feed the Rootes development which we hope will come into full swing in the spring of next year? Can he give us some hope in that direction?

That supplementary question goes a good deal wider than the original Question. The facilities of the Local Employment Act wild be used to encourage firms which wish to set up component manufacture in Scotland, and our refusal to grant industrial development certificates in the congested areas of the Midlands will prevent the expansion of component manufacturers taking place in those areas.

asked the President of the Board of Trade if he will state the number of jobs in prospect for the Dewsbury employment exchange area.

About 40 jobs are known to be in prospect in Dewsbury from firms which have had industrial development certificates. I have no information of the number of jobs likely to be provided by firms which do not need new industrial building.

This is a profoundly unsatisfactory state of affairs. Is not the right hon. Gentleman aware that unemployment in the Dewsbury area has doubled in two years? Also, is there not a lot of concealed unemployment especially among unmarried women? Since it has been generally recognised that the heavy woollen industry has special problems—I think that the right hon. Gentleman's predecessor but one recognised this fact—will he at least undertake to study during the Recess some of the economic problems of the area?

I know that there are certain special problems in the area, particularly the absence of diversification, but unemployment in Dewsbury in December this year was 2 per cent.—below the national average—totalling 622 people, while there are nearly 500 industrial jobs in prospect in the surrounding employment exchange areas within travel-to-work distance.

Will the right hon. Gentleman reply to the last part of my supplementary question? Will he consider studying the problems of the area, particularly the problem of concealed unemployment, during the next few weeks?

I will certainly look into the matter.

asked the President of the Board of Trade how many projects under the Local Employment Act were authorised in 1960 and 1961, respectively; how many jobs were expected to arise from these projects; and how many have so far been provided.

One hundred and two between 1st April, 1960, when the Act came into force, and 31st December, 1960, to create 38,000 new jobs; and 161 in the calendar year 1961 to create 27,000 jobs. I cannot say how many of these jobs have already arisen.

The right hon. Gentleman will know that the position becomes even more unsatisfactory with every month that passes. This is the main instrument for dealing with the situation. Since today's figures show that Scotland now has over 100,000 unemployed, just over two years after the passing of the Act which was supposed to cure the trouble, will the right hon. Gentleman take urgent steps either to strengthen and extend the Act or Ito replace it with something really worth while?

I assure the hon. Gentleman that the Act is an excellent one and has done its job very well indeed. Without it, I think it is very doubtful whether we should have been able to get the two motor vehicle projects to Scotland. It has never been claimed that the Act would be able to overtake all unemployment which might arise at any time in future through a rapid decline of older industries.

Does the right hon. Gentleman explain the curious paradox that the Act has done its work very well although unemployment is much higher than it was before it started operating by saying that in so far as he creates new jobs by the operation of the new Act the Chancellor of the Exchequer creates even greater unemployment by his general economic policy?

On the contrary, my right hon. Friend's economic policy is designed to refute the economy to the extent necessary.

Is the right hon. Gentleman aware that when I asked a Question in March, just after the passing of the Act, the figure for unemployment in Scotland was 69,000? How can he say that the Act is working very well when the figure announced today is 100,600?

I can only repeat what I have said, that we should consider the number of factories that have been steered to Scotland as a result of the Act.

asked the President of the Board of Trade how many advance factories have been built or promised in Ayrshire since the passing of the Local Employment Act.

One.

Is this the factory which has been variously described as being in Ayrshire, Central Ayrshire, South Ayrshire and Cumnock? I was told in July, 1960, that there were 11,088 jobs in the pipeline for Scotland. How many people will this factory employ?

It is one factory, and regret any inadvertent confusion which may have been caused by referring to its location as Central Ayrshire.

Central Africa.

It would not be much use to Ayrshire if it were in Central Africa.

asked the President of the Board of Trade in what trades the 700 prospective new jobs will be in the areas of AShington and Morpeth, Northumberland; and when they will be available.

I assume that the hon. Member is referring to the 700 new industrial] jobs estimated to be in prospect in the area covered by the Amble, Morpeth, Ashington and Bedlington Station Employment Exchange areas.

Is the right hon. Gentleman aware that the area covered by these assumed 700 jobs is an area of increasing unemployment? While we welcome any new jobs that can be secured for people in the area, surely it is not enough to assume that the 700 jobs will meet the urgent needs of my division and that of my hon. Friend the Member for Blyth (Mr. Milne).

I am not satisfied with the result so fair, but it is progress. I understand that the National Coal Board does not expect any pit closures in this area in 1963.

asked the President of the Board of Trade if he will now state the composition and terms of reference of the proposed Consumer Council.

asked the President of the Board of Trade when he expects to announce the terms of reference, financial arrangements and composition of the proposed Consumer Council.

As I said in the debate on the Second Reading of the Weights and Measures Bill, I am pressing on with this 'matter as rapidly as possible. I shall make an announcement as soon as I can.

The right hon. Gentleman says that he is pressing on with this "as rapidly as possible", but almost three months have gone by since the initial announcement was made. If we are to make effective progress in providing consumer protection, the establishment of this Council is urgently necessary.

I fully agree with the hon. Gentleman about the importance of this Council, and, because I regard it as a very important body, I want to be quite certain that we obtain the services of the right people for it.

If it is true that the right hon. Gentleman is consulting all kinds of trade associations to make sure that he gets what he wants, namely, the right kind of Council, why is not he consulting this House about the composition of the Council, its terms of reference, and so on? Surely we have a right to be consulted before this body is set up?

An opportunity to discuss the matter was provided on the Second Reading of the Weights and Measures Bill.

No.

If the House as a whole wishes to have a debate on the subject, that can always be discussed through the usual channels. If individual Members —here I think I am following the general practice—have any ideas or suggestions about people suitable for consideration for appointment to the Council, I will be glad to receive them.

That is not the point. It is true that the right hon. Gentleman made a statement on the Second Reading of the Weights and Measures Bill, but we could not discuss the matter then. Since then we have asked him to help us to arrange a debate through the usual channels, not so much on the composition but on the terms of reference of the Council. As the Weights and Measures Bill provides that the Council shall be the advisory body to the Board of Trade on weights and measures, surely that point should also be discussed by the House before the right hon. Gentleman makes a move?

If I go on considering so many things, I shall be in trouble with the hon. Member for Morpeth (Mr. Owen) for taking such a long time. It was stated in advance of the Second Reading debate that it would be in order to refer to the Consumer Council in it, and I think that other hon. Members besides myself did so.

asked the President of the Board of Trade whether ratification of the £4 millions order for a British steel plant for Roumania is dependent upon facilities being given for Roumania to increase her exports to Great Britain; and what steps he proposes to take to increase quotas for imports from Roumania in 1963 and subsequent years to ensure that this order and other similar orders for heavy engineering goods are secured by British manufacturers.

I understand that this order is dependent on the issue of a Roumanian import licence, which is, of course, a matter for the competent Roumanian authority. The hon. Member will be glad to learn that quotas have today been agreed with the Roumanians which will provide for an increase of over 16 per cent, both ways during the twelve months from 1st October, 1962.

While thanking the right hon. Gentleman for that Answer, which is certainly a step in the right direction, may I ask him whether he is aware that, because of the great importance of this and similar orders to our steel works plant industry, there should be more than a 16 per cent. increase in our quota of imports from Roumania? Does this new agreement extend beyond the present duration of one year, which is too limited? We are exporting goods, such as steel works, on four-year arrangements, yet we have a limit of only one year for import permits.

The arrangements usually run for twelve months. This is understood by both sides as a reasonable arrangement because it permits more frequent changes in the quota lists. As the amounts in both directions are increasing each year, the prospects for the Roumanians can be regarded as reasonably reassuring. But the greatest prospect for them to increase their earnings lies in better utilisation of existing quotas which were taken up to the extent of only 20 per cent. last year and expanding their sales of goods which are on open general licence.

asked the President of the Board of Trade how many pairs of optical binoculars of Japanese manufacture were imported into this country between June, 1961, and June, 1962; and what increase he anticipates when the Anglo-Japanese Treaty is ratified.

Separate details of imports of binoculars are not available. In the twelve months to June, 1962, however, imports of telescopes, binoculars and monoculars from Japan were valued at £51,550. For the year to 30th September, 1962, the quota for Japanese binoculars was £60,000. From 1st October until the Treaty comes into force it will be at an annual rate of £80,000, and from the date on which the Treaty comes into force until the end of 1963 the quota will be increased to an annual rate of £100,000.

While thanking my right hon. Friend for those figures, may I ask whether he is aware of the deep concern in this industry, which is doing all that it can to get its prices as low as possible against competition from Japan, whose products are coming in at a very low price? Is my right hon. Friend further aware that this industry has a wealth of technical skill and that it would be, a great tragedy if it were to leave the industry? Whatever may be the advantages to us of the Anglo-Japanese Treaty, many of our industries, like the optical industry, are extremely worried about the effect 'of this trade upon their own industry.

I should like to reassure my hon. Friend that during 1962 imports from other sources have been considerably greater than those contemplated from Japan. As to keeping in touch with the industry, one of my officials had a meeting with an important firm in the industry only a few days ago and we shall, of course, maintain our informal but close relations with the industry.

asked the President of the Board of Trade what percentage of total United Kingdom imports in 1961 was represented by imports of kangaroo meat, rabbits and fish liver oil.

Separate trade statistics are not available, but it is estimated that total imports in 1961 amounted to about £2·5 million, or 0·06 per cent. of total imports.

Will the President of the Board of Trade convey my warmest greetings and congratulations to the Lord Privy Seal on having secured, after 14 months of negotiation, free entry into the United Kingdom for 0·06 per cent. of our total imports?

I was expecting the right hon. Gentleman to have a bit of fun with this Question and Answer. I will certainly pass on his greetings to my right hon. Friend the Lord Privy Seal.

Does the President of the Board of Trade think that it is altogether fun?

We never said that this would be an important element in the negotiations. Very much larger values have been secured for duty-free entry under other headings.

asked the President of the Board of Trade whether it remains the policy of Her Majesty's Government that trading arrangements can be made with the Commonwealth equal or superior to those which might be made by adherence to the Treaty of Rome.

It remains the Government's policy to make every effort to bring our negotiations with the European Economic Community to a successful conclusion.

Will my right hon. Friend bear in mind, and, if possible, now publicly endorse, the word of one of his predecessors in office not so very long ago, who, when speaking for the Government, said:

"The example of the Common Market in Europe has prompted us to re-examine our"—

Order. A verbatim quotation is out of order in a Question.

asked the President of the Board of Trade what action he is taking to persuade firms from the countries of the European Economic Community to set up factories in areas scheduled under the Local Employment Act.

As a first step I have sent personally to leading industrial firms in Western Germany a booklet in German describing the desirability of manufacturing in Britain and stressing the special advantages of development districts. Other copies have been distributed by the Embassy and Consulates.

Is the right hon. Gentleman aware that when local authorities in development districts try to attract foreign firms to their areas they are told that the firms are waiting for a decision on British entry into the European Economic Community? Unless the Government tackle safeguards on a European scale in order to ensure proper distribution, new industry, if Britain goes into the Common Market, will be concentrated not in the development districts but in the golden triangle between the English Midlands, Paris and the Ruhr.

There is nothing incompatible between the Local Employment Act and the Treaty of Rome. We will be able to continue to operate the Act as at present whether we are in the Common Market or not. If we join the Common Market I believe that we shall be able to encourage a considerable expansion of industry in many parts of Britain.

What prospect will my right hon. Friend have of attracting any such firms into development districts when our very modest protective duties have been removed?

Development districts will be attractive by reason of financial and other inducements that I am empowered under the Act to give to them.

Is the right hon. Gentleman aware that it is impossible to encourage any firms to come to this country, or to promote any major industrial development here, until the outcome of the negotiations is known? Is it not essential that they should be either speeded up or ended?

The negotiations are proceeding as quickly as practicable. Some foreign firms are currently interested in development in this country without waiting for a Common Market decision.

asked the President of the Board of Trade if he is aware that the Clyde shipyard of Simons-Lobnitz Limited at Renfrew is to be closed next year with the loss of 1,400 jobs; and what steps he is taking to provide alternative employment in the area.

I am aware of the proposed closure of this shipyard. I shall continue to use my powers under the Local Employment Act to encourage the introduction and expansion of industry on Clydeside.

Is the President of the Board of Trade aware that this considerable shut-down is a disaster to the town of Renfrew and extremely serious to the whole of the surrounding area? Has he had discussions with the firm concerned? Has he intervened with them? Is there much use in his directing all his efforts in looking to industries to expand in the area when this sort of thing can happen and, apparently, the Board of Trade does nothing at all about it?

I am as disappointed as anybody about the closure. As regards the future of this firm, the departmental responsibility lies with my right hon. Friend the Minister of Transport and it is for him to have discussions with the firm.

Is not the President of the Board of Trade at all concerned about this? Surely, he is the Minister ultimately responsible for employment. Does he not intervene in any way? Does he leave it to the Minister of Transport, in whom many of us do not have a great deal of faith?

I assure the hon. Member that I have great faith in my colleague the Minister of Transport. While in no way wishing to minimise my responsibilities, I should like to make quite plain that I am not the Minister responsible for employment.

asked the President of the Board of Trade if he will now announce his decision regarding the application of the Local Employment Act to Merseyside.

The matter is still under consideration. I can add nothing to the reply that my hon. Friend gave on 20th November to my hon. Friend the Member for Liverpool, Kirkdale (Mr. N. Pannell.)

Will my right hon. Friend recognise that, in its efforts to attract industry, what Merseyside wants is the removal of a handicap under which it labours vis-à-vis other areas which are already scheduled? It wants a fair chance. The application of the Act would be an excellent way to enable Merseyside to help itself. Will my right hon. Friend announce his decision as quickly as he can?

I will certainly announce my decision as quickly as possible. I want to ensure that all areas suffering from severe unemployment have a fair chance.

asked the President of the Board of Trade if he will make a statement on the effects of the Trade Treaty with Japan on British shipbuilding.

The Treaty will ensure that the Japanese authorities give Britain equal treatment with other countries in matters affecting the sale of ships and marine equipment to Japan.

That would not seem to be of much help to British shipbuilding in view of the fact that the Japanese are, perhaps, not keenly interested in just selling ships. Does the President of the Board of Trade realise, however, that this Treaty, with its long-term basis and its yearly escalation of exports and imports, is exactly the sort of thing that we have for many years urged him to do with Russia? Why cannot he come to some sort of similar arrangement with Russia so that she might take our ships for her appropriate products and guarantee the help to shipbuilding, which, his colleague the Minister responsible for its care tells us, is in a worse situation today than it has ever been?

This Question, which has been deferred on several occasions, deals solely with the Treaty and Japan and makes no reference whatever to Russia.

Will my right hon. Friend use such occasions as this when negotiating trade treaties with other countries to try to persuade such other countries to abandon the subsidising of shipbuilding which they adopt to our detriment?

Whenever opportunity arises, we draw attention to these and other practices which we consider undesirable in the interests of free international trade.

Even though there may be no direct reference in the Question to Russia, surely the suggestion that the President of the Board of Trade might imitate with another country what he has already done with one country should be entertained in view of our serious unemployment? Will not the right hon. Gentleman think about this?

asked the President of the Board of Trade whether he has now completed the general review of policy on restrictive practices and monopolies announced early this year; and whether he will make a statement.

No, Sir. The review covers a wide range of complex and difficult subjects and I shall need some time to examine the considerable body of evidence which has been submitted and to reach conclusions.

Is the President of the Board of Trade aware that in the debates in this House about the I.C.I.-Courtauld controversy—nearly a year ago—the one positive action which the President claimed to be taking was to institute this review into the whole matter? Is this another case of the Minister claiming that he is pressing on with all possible speed?

I do not terribly like the sarcastic tone of the right hon. Gentleman. It is quite unjustified on this occasion. The delay, if any there has been, has been caused mainly by the time taken for people to write in and give us the benefit of their views and the further time taken in waiting for their replies to questions which arise from their original submissions. The important thing is to have a thorough inquiry. It is going very well indeed.

Can the President say how many years this review must take before a sarcastic tone is justified?

About fifty-three, I should think.

asked the President of the Board of Trade what embargoes and other restrictions are imposed on the export of commodities to China.

The consolidated list of goods which may not be exported to China, in common with Soviet bloc countries, was published in the Board of Trade Journal on 28th September, 1962, and amendments were published on 26th October, 1962. The list is detailed and somewhat complicated but, broadly, the control covers weapons of war, atomic energy materials and other goods of strategic significance.

I studied that at the time. Does the right hon. Gentleman realise that we have reached a stage in our economic life when we should be considering getting rid more and more of embargoes and other impediments to trade? Would he not agree that one way of increasing trade is by making more trade? Would he not accept the suggestion that he could make more trade with China if he were to get into talking terms with her? Will he reconsider his decision about receiving the Vice-Minister of Trade for China so that he might discuss these matters with him?

A great deal of my time is taken up, quite properly, in efforts to promote and expand our international trade. I made it clear to Vice-Minister Lu at the time that his visit was only postponed, and I have made it clear since that we should like to see him in this country. In general, there are as many opportunities for trade with China as China's foreign exchange reserves will permit. But I do not think that the hon. Member should seriously suggest that we should sell China atomic bombs.

On a point of order, Mr. Speaker. Surely it is not for the right hon. Gentleman to cast the aspersion that an hon. Member who is opposed to the bomb should want it sold to another part of the world? I think that the right hon. Gentleman should withdraw that remark.

It depends how seriously I choose to regard the way in which the words were spoken in the context. I think that we can stand tossing atomic bombs about in that if in no other fashion.

asked the President of the Board of Trade if he is now prepared to modify the hire-purchase regulations with regard to furniture in order to assist the industry in its present difficulties.

No, Sir.

Is the right hon. Gentleman aware of how much the speedy revision of the hire-purchase regulations would benefit not only the furniture industry but also many people, particularly young married couples? When is he likely to be able to make a statement?

I do not contemplate making a statement on the lines suggested by the hon. Lady because I believe that it is best for the hire-purchase controls to be as uniform as possible.

asked the President of the Board of Trade what steps he is taking to prevent fraudulent sales of carpets by door-to-door salesmen.

Where such sales concern goods in relation to which a false or misleading written trade description is used and the matter is brought to my notice, my Department will investigate and, where appropriate, will prosecute under the Merchandise Marks Acts.

Is the right hon. Gentleman aware—I am sure that he is—of the difficulties of dealing with this by the present procedure under the Merchandise Marks Acts? What is needed is amending legislation, as proposed in the Molony Report. Is he further aware that there is now evidence that eight firms are operating this door-to-door swindle of selling carpets, and that one of those concerned is an alien in this country? If we provide him with information about the activities of this American, will he consult the Home Secretary about the man's status?

My Department has not received any complaints about the door-to-door sale of carpets for three years. If the hon. Member will let me have evidence, I will gladly have it looked into. I am having the final recommendations of the Molony Report looked into with regard to this subject.

asked the President of the Board of Trade, in view of the high rate of unemployment now prevailing in the North-East of Scotland Development Area, what particular aspects of industrial expansion he proposes now to encourage with his powers under the Local Employment Act.

I propose to continue to use my powers under the Local Employment Act to encourage the introduction of any type of new industry and the expansion of existing industry which offers prospects of providing continuing employment.

I thank my right hon. Friend for that reply and for what he is trying to do in this area. Will he bear in mind, when he reviews it in the light of the serious nature of the figures there, that one of the surest ways of dealing successfully with the problem of unemployment in the more distant areas is to concentrate as much as possible on local natural resources and to develop them as far as one can?

Certainly I will. One of the great advantages of the Local Employment Act over its predecessors is that it enables us to steer industries which are steerable to the places where they are most needed and can be most effectively developed.

Does the right hon. Gentleman recall the positive advice given to him during his recent visit to the north-east coast of Scotland by the Scottish T.U.C. and. particularly, by the Aberdeen Trades Council? Why has he not followed that advice? It was positive advice which, if followed, would lead to a diminution of the greatly increased unemployment in the area. What is he going to do about it?

I receive a great deal of advice, nearly all of it sincere and well intentioned. I studied what was put to me by the Scottish T.U.C. and also explained to it the reasons why it would not be possible or practicable for me to adopt some of the items suggested.

asked the President of the Board of Trade if he will state the amounts in loans and grants provided under the Local Employment Act to the cities of Dundee, Aberdeen and Glasgow during the most recent convenient twelve-month period.

During the 12 months ended 30th November, 1962, total financial assistance offered, excluding offers declined, to projects in the Dundee, Aberdeen and Glasgow groups of employment exchange areas amounted to £161,000, nil and £422,000, respectively.

I thank the right hon. Gentleman, but can he say what he is doing to try to increase the amount of financial aid to the Dundee area in view of the present very difficult employment situation, particularly in engineering?

Financial aid, of course, follows the steering of a project to a particular area, and the full range of assistance under the Act is available to any project we may successfully steer to Dundee in the future.

asked the President of the Board of Trade how many firms are licensed to import Swiss watches; when they were selected; and on what basis the selection was made.

In 1962, 304 firms were licensed to import Swiss watches costing less than £5 c.i.f. They were selected in 1946 on the basis of their imports of watches from all sources in the year 1st September, 1938, to 31st August, 1939.

Is it not quite ridiculous for the right hon. Gentleman to maintain this antiquated restriction, imposed in 1946 on the basis of imports in the year before the last war? When will the Government abandon this last relic of war-time controls and give effect at long last to their slogan, "Set the people free"?

The longer an import control lasts the more unrealistic the basis of the allocation of import licences appears to be. Unsatisfactory as it may seem, however, this is the best method that can be devised while it remains necessary to control the import of watches costing less than £5.

Is the right hon. Gentleman willing to hear any further representations about how to get rid of this control and to substitute a more satisfactory method?

Any fresh proposal would have to satisfy existing licence holders as well as newcomers to the trade.

Can the right hon. Gentleman give an estimate of the percentage of Swiss watches sold in this country and smuggled in without payment of Customs duty?

Smuggled items do not appear in Board of Trade returns.

asked the President of the Board of Trade (1) if he will apply the provisions of the Local Employment Act to the whole of the northern region in order that prospective industrialists may be free to choose a site in any part of the region which is most suitable for their needs;

The provisions of the Local Employment Act already apply to all those areas in the Northern region in which high and persistent unemployment exists or is threatened, due to the decline in shipbuilding, ship-repairing, coal mining and heavy engineering or for other reasons. I have no power to extend the Act to other areas, but I am always prepared to assist firms outside the development districts if they will provide work for people living in the development districts.

Is my right hon. Friend aware that from that Answer it is quite obvious that he has not yet had the memorandum and all the representations from all interests in these areas which have been made to the Prime Minister? Before my right hon. Friend commits himself to that kind of a statement, would not it be better to remember that even the Prime Minister had time to receive his northern Conservative colleagues, who emphasised this matter, and will he please consider the point of view that has been expressed? As we are considering National Productivity Year, it would be a good thing if the communications between the Prime Minister and my right hon. Friend were speeded up. We might then have a better reply than we have had this afternoon.

I have received the memorandum, and I am looking forward to studying it closely. I should like to point out to my hon. Friend that the important thing is to get as many jobs as possible close to the locality where the unemployment actually exists. We are not helping the unemployed by building factories many miles away from where they are unemployed.

Will the right hon. Gentleman note that the adoption of his hon. Friend's excellent suggestion in Question No. 31 would mean returning to the system which prevailed under the Labour Government when this policy really worked, and there is a strong prima facie argument in favour of it?

It was because the policy was not working particularly well that we introduced the Local Employment Act, 1960.

May I ask my right hon. Friend whether he can answer this question? Is he aware that there was a firm of great repute which wished to go to the north-east coast, but which required ample supplies of water? Ample supplies of water are not necessarily available on the north-east coast in areas of high unemployment, but if the firm had gone to that area it would have provided overall employment, which is very important when one is faced with a decline in coal mining and shipbuilding, and in that context one cannot argue as my right hon. Friend does about these matters.

Without going into the details of this application, I assure my hon. Friend that to the extent to which this firm would have provided employment for these very development districts it would have been proportionately entitled to assistance under the Act.

Can the right hon. Gentleman indicate the areas of low unemployment in the north-east region which justify their exclusion from the Local Employment Act? When the hon. Lady does occasionally make a sensible suggestion. is not there every reason why it should be adopted by the Government?

As I said to my hon. Friend, I am looking forward to studying the memorandum very carefully. As regards the areas in the North-East to which the right hon. Gentleman referred, I say that broadly they are those which are not scheduled as development districts.

Is the right hon. Gentleman aware that unemployment in the northeast region in June, 1961, was 1·8 and now, after three years of this Act, it is nearly 4 per cent?

Yes, I read my figures.

asked the President of the Board of Trade what are the prospects of new industries being established in Falmouth and Penryn.

The facilities of the Local Employment Act are available in Falmouth and Penryn, and we will continue to do all we can to bring the area to the notice of suitable firms. There is no new jobs in prospect in Falmouth, but there are a considerable number in the neighbouring area of Camborne-Redruth.

May I ask the right hon. Gentleman to bear in mind that at Falmouth recently the percentage of unemployment was 20, and in the ship-repairing yard it was 66·6? Will the right hon. Gentleman do something to see that new industries are taken to Falmouth and Penryn which are 15 miles away from the industrial development area of Camborne and Redruth?

Unemployment in the Falmouth Employment Exchange Area fluctuates widely according to the season aid the state of employment or unemployment in the Silley Cox ship-repairing yard, but I have recently received a report that four boats have come into the dockyard for repair, and these should reduce the male unemployment rate.

May I ask the right hon. Gentleman to bear in mind that the average periods of unemployment in the Silley Cox ship-repairing yard have been increasing, and the periods have been lengthening, and that the position really is very serious at the present time?

I do not wish in any way to minimise the seriousness of the situation, but I thought it only right to mention also the bit of good news which I have given.

asked the President of the Board of Trade what is the number of persons employed in the head office of his Department; and where that head office is located.

The number employed at the Board of Trade head office in Horse Guards Avenue is 1,981.

Is not this a very large Department to be centred here in London? Does not the President of the Board of Trade think that he should give a lead to industry—since he is urging industry to go to areas of high unemployment—by establishing his head office in some such area, thereby taking a leaf out of the book of the Minister of Pensions and National Insurance?

I have looked at the matter very carefully, but considering the range of work and the nature of that work which must be done at head office the total headquarters staff is quite modest. Other Board of Trade offices are scattered elsewhere, and we have regional offices as well, so that nothing like everything is concentrated on Horse Guards Avenue.

But need the head office itself be in the centre? Could not quite a small office be used for the purpose here?

No, Sir. It is always a surprise to me when I go in at the front door to see so many other people going through at the same time, a number of them being callers who want to do business With the Board of Trade, and I am sure that in the interests of our commerce and trade it is right that the head office should be where it is.

Is the right hon. Gentleman aware that bigger surprise is felt by those who see him going through the front door every day?

asked the President of the Board of Trade if he will give powers to the Scottish Industrial Estates Management Corporation to permit that body to promote and run such selected industrial undertakings as the Corporation considers could be successfully developed within its area.

No, Sir.

Since it is obvious that private enterprise has dismally failed to meet the problems of areas like Scotland, the North-East and Northern Ireland, will the right hon. Gentleman and his hon. Friends see that public enterprise is given this task? Will not he see that some new step is taken? Will he take it from hon. Members on this side of the House that unless some new step is taken there will be no way of meeting the problem?

Private enterprise has responded magnificently to the stimulus of the Local Employment Act, 1960. I do not think that publicly-owned manufacturing plants would provide a satisfactory way of trying to provide additional employment in these hard-hit areas. The former Labour Government had a good deal of experience of trying to make articles at Royal Ordnance factories for sale to the public. It was an awful flop.

Does the right hon. Gentleman think that the provision of £500,000 worth of aid to the North-East is responding magnificently to the stimulus of the Local Employment Act?

I was dealing particularly with Scotland, but some worth-while projects are also going on in the North-East.

Does not the right hon. Gentleman agree that there are a number of worth-while scientific and technological projects which might be fostered by the Government themselves both on a development and on a manufacturing basis, especially in those areas which badly need an injection of scientific skill and technological expertise?

I shall be glad if the hon. Member will give me some details.

In concentrating on schemes for Scotland and the North-East, can my right hon. Friend give me an assurance that Northern Ireland will not be neglected?

I should have thought that the fact that we were able to steer the Michelin Tyres project to Northern Ireland was proof of my sincerity towards Northern Ireland.

Will the right hon. Gentleman bear in mind that after all his efforts to stimulate development in the North-East and in Scotland there are in Scotland now many thousand fewer men and boys working than there were when he started these efforts? Will he abandon these efforts and take some new step which may have some success, such as is suggested here?

I am aware of the problem of Scotland, but it would be wrong to abandon this policy and substitute another, because this is the best policy to be devised for this intricate and important task.

asked the Chancellor of the Exchequer what is his estimate of the loss to the revenue through tax frauds by jewellery firms selling as second-hand jewellery which was new; and how much Purchase Tax has now been recovered from these firms.

As indicated in paragraph 100 of the Third Report from the Committee of Public Accounts, Session 1961–62, no firm estimate of the loss to the Revenue through these frauds can be given. The answer to the second part of the Question is about £345,000.

This is about £250,000 less than the Public Accounts Committee expected would be recovered. Has the hon. Gentleman been able to take steps to prevent this kind of fraud in other spheres? Obviously he cannot disclose the methods adopted, but has he been able to do anything in a general way?

There is a good deal of money to be recovered, about £250,000 or so. In answer to the second part of his supplementary question, I can assure the hon. Gentleman that the situation is being carefully and closely watched.