asked the President of the Board of Trade if he is aware that British plastics going into America pay a 40 per cent. duty, whereas American plastics coming to Great Britain only pay a 10 per cent. duty; and since America has a favourable trade balance with this country of about £250 million a year, if he will take steps to make these duties equal; and if he will make a statement.

The Government are at present engaged on the Kennedy Round of tariff negotiations in the G.A.T.T., in which their object is to secure a general reduction of tariffs on a reciprocal basis. While these negotiations are in progress we cannot consider a unilateral increase in our duties on plastics.

Is the right hon. Gentleman aware that a general reduction under the Kennedy Round will not help us at all? Will he tell the American Government that unless they reduce their tariffs to our levels we can never obtain the dollars with which to pay for the American goods that they want to sell us?

I sympathise with the hon. Gentleman's objections, but experience shows that we make most progress by multilateral negotiations.

asked the President of the Board of Trade, in view of the fact that the Cotton Board was created during the depression, if he will take steps, by legislation or otherwise, to replace it by a textile board that will include wool, man-made fibres and the hosiery industry; and if he will make a statement.

A review of the future of the Cotton Board is now in progress; and I hope that this will result in the formation of a body whose scope and functions will be more adapted to present-day conditions. The wool and hosiery industries were invited to participate in this review, but they declined.

In view of the fact that man-made fibres are generally taking the place of the old-fashioned cotton and wool, will the right hon. Gentleman take steps to see that the Board will include representatives of the man-made fibres industry, so as to be more effectively representative of the whole trade?

Yes. I hope that it will be possible quite shortly to reach agreement on an authority with a good deal wider scope than the previous one.

asked the President of the Board of Trade when he expects the report of the Monopolies Commission on Film Distribution.

I expect to receive this report within the next two or three months.

Does my right hon. Friend know that the British film industry is in a very bad way? Will he express the view to the Commission that the sooner it can get out its report the better?

I await its report with interest.

asked the President of the Board of Trade whether he will set up an inquiry under Section 165 of the Companies Act to investigate the fraudulent conduct arising from the operation of the Garda Trust.

No, Sir. The facts in this case are sufficiently known and the scheme has, I understand, been terminated.

In view of the fact that solicitors who engage in similar practices are disciplined and expelled from their profession, can my hon. Friend explain why this matter does not fall within Section 20 of the Larceny Act? What steps will he take to see that no other directors are enriching themselves at the expense of the shareholders in their companies without consulting those shareholders?

As the House has been informed, my right hon. Friend is considering what provision may be included in the Companies Bill about schemes of this kind.

asked the President of the Board of Trade what representations the Government have received this year from Norway about the import surcharge; what replies have been sent; and what has been the effect of the surcharge on trade between Great Britain and Norway.

The Norwegian Minister of Trade raised this question with me in the course of discussions held in February and April, when I reassured him about the temporary nature of the charge. Since then my right hon. Friend the Chancellor of the Exchequer has announced that it will lapse at the end of November. Our imports from Norway have continued to rise since the charge was imposed.

Is not one of the side-effects of the imposition of a surcharge to stimulate intra-Scandinavian trade between Norway, Denmark and Sweden, at the expense of British trade with Scandinavia?

I see no sign of that on the figures. Our trade with each Scandinavian country has continued to increase.

Does not the right hon. Gentleman agree that one consequence of the prior announcement of the ending of the surcharge to which he has referred will be artificially to reduce the level of imports for the period between now and the autumn, and in the period immediately thereafter to cause a flood of imports?

That also applied to the reduction we made a year ago, but it turned out not to have a very substantial effect.

asked the President of the Board of Trade why import duty and the temporary surchage on imports are not charged in respect of imported catalogues mailed direct from overseas by a foreign firm to individual addressees in the United Kingdom to the order of a United Kingdom firm.

Import duties have never been charged on single copies of trade catalogues and similar publications sent by post to individual addressees, primarily because the cost and difficulty of collecting the negligible amounts of duty payable on each package would be prohibitive.

Will the hon. Gentleman look at this question again? Is he aware that the import of catalogues, gift coupons and such things is now reaching substation proportions, and that British printers have to pay duty on imported paper, and that this therefore represents increasingly unfair competition against the British printing industry?

We are always prepared to consider representations from representative bodies on this matter, but it seems a lot to ask that every individual catalogue should be checked. It would be uneconomical.

asked the President of the Board of Trade whether he is aware of the practice of manufacturers whereby retailers are offered financial inducements to stock the manufacturers' products in preference to those of their competitors, to the detriment of the public's range of choice and the operation of competition and the forces of demand; and if he will take steps, by legislation or otherwise, to deal with this problem.

I am aware that some manufacturers promote sales by offering various inducements to retailers, but I have no evidence to suggest that this practice operates against the public interest; and I do not think that Government intervention is called for.

How can the right hon. Gentleman pretend that this does not operate against the public interest? It is surely obvious. Competition is not between retailers who can give the best value for money but between retailers and manufacturers who can devise the most cunning and crude methods of sales techniques.

The Molony Committee considered this and took a different view. I should hestitate to disagree with that Committee.

asked the President of the Board of Trade if he will take steps, by legislation or otherwise, to compel traders to label packages with an indication of the price per pound or ounce, instead of indicating the price for an odd quantity, which makes it more difficult for the consumer to assess comparative value for money as between one product And another.

I see no grounds for a general requirement of this kind.

asked the President of the Board of Trade what plans he now has for the introduction of legislation to give effect to the recommendations of the Jenkins Committee on the reform of company law.

A Companies Bill is being prepared for introduction in the present Session if time is available, and, if not, for introduction in the next Session.

May we have an assurance that the Bill will be a considerable improvement on the miserable affair that the right hon. Gentleman introduced in the last Parliament and that it will take account of the Jenkins Committee's representations? Does not he agree that such a Bill would be far more urgent a contribution to industrial efficiency than such irrelevancies as the nationalisation of steel?

As we now have a better Parliament, with a bigger Government majority, there is a logical case for a bigger and better Bill.

The right hon. Gentleman has not answered my hon. Friend's Question. How does it come about that, before the election, the Government considered that company legislation was more urgent than steel nationalisation whereas now the latter is to have priority?

For the reason I have given—that, in this better Parliament, there is a place for a better Bill and that it takes a little time to prepare.

asked the President of the Board of Trade whether he will alter the proposed system of investment incentives to enable buildings used for research, such as high altitude test chambers, to qualify for investment grants.

Buildings will not be eligible for grants under Part I of the Industrial Development Bill, but expenditure on buildings used for scientific research will continue to receive the special 100 per cent. tax write-off allowance. In addition, buildings in Development Areas will be eligible for grants at 25 per cent. or 35 per cent. where employment is provided. I am advised that high altitude test chambers normally include some element which would be regarded as plant or machinery, and this would qualify for investment grant.

Should not this kind of investment receive high priority in any incentive system? Will the right hon. Gentleman consider making all parts of such investment in research eligible?

It already receives 100 per cent. write-off and I think that that is very favourable treatment.

asked the President of the Board of Trade whether he will designate Blackpool and the Fylde coast as a development area.

The economic circumstances of this area do not justify adding it to the proposed development areas.

Is not the right hon. Gentleman aware that the unemployment rate in the area, even at this time of the year, is very much above the national average and that, in my constituency, a very large factory, with over 1 million square feet of space, has been empty for some time? Does not this give the area at least as good a claim to be a development area as many other places which are already so scheduled?

I agree that the area has an unemployment rate rather above the national average, but it is not high enough to justify full development area concessions. It does, however, justify an easy I.D.C. policy for the area.

asked the President of the Board of Trade (1) if he is aware that a number of investors in Pitch Fibre Pipes Limited, West Hartlepool, responded to statements by the chairman of the company and that those statements were based on the fact of Board of Trade grants and loans; and in view of the rapid deterioration of the company's financial position and of the fact that shares were bought on the basis of 20s. per share, giving a return of 5s. per share, and information supplied to him by the hon. Member for The Hartlepools suggesting that some shares changed hands at £3 and more each, he will set up an inquiry into the affairs of the company under section 165(b) of the Companies Act 1948, inasmuch as the company has acted in a manner oppressive of its members;

(2) Why the fullest investigation was not made by the Board of Trade Advisory Committee into the application of Pitch Fibre Pipes Limited, West Hartlepool, for a grant and loan totalling £235,000; and, in view of losses suffered by investors and the early deterioration of the firm's financial position in West Hartlepool, whether he is now satisfied that the Board of Trade Advisory Committee had all the facts before it before the grant and loan were made.

On present information I am satisfied that the Board of Trade would not be justified in appointing an inspector under Section 165(b) of the Companies Act, 1948, to investigate the affairs of Pitch Fibre Pipes Limited. I am also satisfied that, before the Board of Trade Advisory Committee recommended a loan under Section 4 of the Local Employment Act, it carried out a full investigation into the relevant facts.

Is not my right hon. Friend aware that there is concern and suspicion in my constituency about this matter? Does not he agree that it is regrettable that so many investors have lost large sums of money and that the Board of Trade refused to take steps to avoid this? Is not he further aware that the company had very limited experience in the manufacture of these products and that, when the public loan was made, it only had £200 nominal capital while the chairman had only one 5s. share? Will my hon. Friend consider an inquiry into the Board of Trade Advisory Committee?

I see no grounds for suspicion in this case. The Board of Trade Advisory Committee is always being urged to act more quickly and to take risks. If it does take risks, it must occasionally be prepared to accept them. No public money has been lost.

In view of the unsatisfactory nature of the reply, I beg to give notice that I shall seek to raise the matter on the Adjournment at the earliest possible opportunity.

asked the President of the Board of Trade if he will seek to arrange credit facilities for British shipowners building at home equal to those for foreign shipowners building in British yards; and if he will make a statement.

Credit facilities in respect of building by United Kingdom shipowners in United Kingdom yards is one of the subjects dealt with by the Geddes Committee. I have at present no statement to make.

Does not the Minister of State agree that the present arrangements are placing British shipowners at a disadvantage and encouraging them to build abroad?

No, Sir.

Why not?

Because the British shipowners must fight in competitive markets. If they are to match international freight rates, they must buy in the cheapest market and must take into account price, delivery date, speed of building and design, which are almost as important as credit facilities.

asked the President of the Board of Trade what progress is being made with his plans for the creation of new publicly-owned industries in development areas, especially in mining areas likely to suffer from pit closures.

A large number of publicly-owned factories, advance and otherwise, are now being built in development districts; and new publicly-owned industrial estates are being developed and existing estates extended.

Why does my right hon. Friend continually refuse to answer the Question, which relates to publicly-owned industries and not to factories? Does he recall that the Prime Minister, before the 1964 election, made a speech in Liverpool committing the Labour Party to publicly-owned industries in the development areas? When will my right hon. Friend be able to come to the House and say that such industries are to be established?

If my hon. Friend wants literally new publicly-owned industries, much wider legislation will be required. If he is thinking of projects in which the public may participate, the Industrial Reorganisation Corporation shortly to come into existence will help.

Will the right hon. Gentleman resist the suggestion made by the hon. Member for Fife, West (Mr. William Hamilton)? [HON. MEMBERS:"Why?"] Because publicly-owned businesses so far have lost money and paid no taxes from profits to help maintain the Welfare State.

More than £100 million worth of factory space is now owned by the Board of Trade in these areas. Practically all of it is occupied, and that should satisfy my hon. Friend the Member for Fife, West (Mr. William Hamilton), if not the hon. Member for Louth (Sir C. Osborne).

Is not the point raised by the hon. Member for Louth (Sir C. Osborne) one reason why my right hon. Friend might give this further consideration?

Can the right hon. Gentleman say clearly and unequivocally that it is not his intention to create new publicly-owned industries?

No, Sir.

asked the President of the Board of Trade if he will exercise his powers under the Local Employment Act to clear the slag heap at Greenhill Industrial Estate, Coatbridge, for the purpose of further industrial development.

There is land in or near Coatbridge available for substantial industrial development. There is no necessity for me to acquire this particular site.

Is my right hon. Friend aware that the area has more than twice the national average of unemployment and that, in addition, it is expected that in the next few years several hundred men will be out of work because of closure of obsolescent industries? Will he therefore go ahead and develop the site?

From the point of view of employment it is not additional sites that are needed but more firms to occupy existing sites. The local authority has power to clear sites for other reasons.

asked the President of the Board of Trade what steps he is taking to protect the British watch and clock industry from the recent increase in subsidised imports of watches and clocks from the Union of Soviet Socialist Republics.

Imports of these items from the Soviet Union are limited by quota; and despite the increase in the quota for watches in 1966, represent a very small fraction of the total imports of clocks and watches.

Will the right hon. Gentleman reconsider this, bearing in mind that the British watch and clock industry has always been regarded as of strategic importance? In the last two years, these imports from Russia have increased by 50 per cent. and our adverse trade balance with Russia has got much worse.

I am not inclined to increase this quota while our trade balance with Russia remains as it is. But these imports are a very small fraction of the total imports and an even smaller fraction of total consumption, so they have very little effect on prices.

asked the President of the Board of Trade whether projects started after 17th January, 1966, in the proposed development areas, not previously development districts, will qualify for grants under the legislation to replace the Local Employment Acts only if they are not completed by the coming into force of that legislation.

Yes. Projects in these places which are completed before the legislation comes into force will not qualify for building grants and grants under Section 4 of the 1960 Act.

Since no one can be certain when this legislation will be passed, has not the effect of this been to delay development rather than to encourage it in these areas?

No, Sir. These areas were not development districts before and I have no power to make grants under the old Act to areas which were not develop-districts under that Act. That would have been so in any case.

asked the President of the Board of Trade if he will make a statement on his visit to the trade fair in Oslo with special reference to the prospects of increasing trade, industry and cultural intercourse between Scotland and Scandinavia.

I have every hope that the British Fair and Fortnight in Oslo, which was most successful both in attendance and initial orders, will lead to a further increase in our trade with Norway and indeed with the other Scandinavian countries. Scotland with its traditional links with Scandinavia should be well placed to share in any such increase.

While thanking the Minister for that answer, may I ask him to specify the particular industries which are common to both countries and which may benefit north-east Scotland in general, and Aberdeen in particular, as a result of increasing trade?

Forestry is one of those industries common to both countries, but I think that one of the Scottish exports which will certainly benefit is woollen goods.

Having regard to the import surcharge, was not the right hon. Gentleman extremely tactless to accuse the Norwegians of being in breach of the spirit of the E.F.T.A. agreement?

No, Sir. The trouble with the hon. Gentleman is that he is always defending every country except his own.

asked the President of the Board of Trade if he will take steps to prevent exclusion clauses in guarantees and contracts for the sales of goods.

I am in sympathy with my hon. Friend's general aim, but restraint on exclusion clauses is a complex matter which is to be studied in a wider context by a working party which the Law Commission and the Scottish Law Commission are setting up. I would prefer not to prejudge this study by piecemeal legislation.

asked the President of the Board of Trade what proposals he has for import quotas when the surcharge is revoked.

None, Sir.

Is the right hon. Gentleman aware that there is considerable disquiet about the intentions of the British Government regarding import quotas, as evidenced by the latest international economic review of the First National Bank of Chicago? Can he allay these fears by asserting that it would be an index of the Government's failure if they were obliged to introduce import quotas this year?

The best way to allay these fears would be to continue the increase in exports which we have seen this year.

Will the right hon. Gentleman give us an assurance that when the surcharge is discontinued it will not be followed by import quotas?

That is an excellent example of a hypothetical question.

Does my right hon. Friend rot agree that at present imports are much too high and that when the surcharge is finally removed they may be higher than the economy can readily withstand? Would he not further agree that it is time that we introduced into the balance of payments situation some measure of certainty?

The best way to restore the balance is by expanding exports rather than by restricting imports.

asked the President of the Board of Trade to what extent Her Majesty's Government participate in the furthering of trade with Latin America.

All the Government's usual services to exporters are available for trade with Latin America, and exporters to that area receive the same assistance from my Department as exporters trading to any other part of the world.

While thanking my hon. Friend for that reply, may I ask if he is aware that some manufacturers' associations complain that exports to that particular area are being hampered by a lack of sympathy and credit facilities on the part of the Government? Would my hon. Friend give an assurance that the Government will give every help and assistance to exporters?

Yes, Sir. As my hon. Friend knows, we have already set up a Committee for Exports to Latin America. This is stimulating interest among people in this country in the possibilities of trade with Latin America. At this moment 50 per cent. of the trade with Latin America is covered by E.C.G.D. credit facilities.

In view of the considerable expansion of trade from Japan and West Germany with Latin America, is this matter receiving priority? If not, will it receive urgent attention, because I think that it is true that we are losing a considerable amount of potential trade with that part of the world?

It is very much in the forefront of our minds.

Is the Minister co-operating with the arms salesman, in order to export arms to South America, and if so, is he co-operating with the United States of America, and what do they think of this?

That is an entirely different question from that on the Order Paper.

asked the President of the Board of Trade what plans he has for protecting consumers by introducing legislation during the present Session.

I have nothing to add to the reply which I gave to my hon. Friend the Member for Bristol, Central (Mr. Palmer) on 2nd May.

Is the President aware that that means that the Labour Government will not have introduced any important consumer legislation in the first three years of their life? Why has consumer legislation been downgraded and why has the Consumer Bill been dropped?

We intend to introduce this legislation as soon as possible.

Is my right hon. Friend aware that the Government spokesman in the other place yesterday gave an assurance that this legislation would be brought forward this Session?

If that was said it was perfectly valid.

asked the President of the Board of Trade when work will begin on the proposed National Industrial Exhibition centre at Crystal Palace.

I am considering this project with the Greater London Council and others concerned as a matter of urgency. A decision whether to proceed with it will be taken as soon as possible.

Is the right hon. Gentleman aware that the consultations between Greater London Council and the Confederation of British Industry have been moving very well? Can he assure the House that a decision will be announced before the Summer Recess?

I am very anxious to do so. The only obstacle is the cost. If we can get the cost within a reasonable limit I hope that it will be possible to proceed.

Does the right hon. Gentleman realise that one of the finest forms of a national industrial exhibitions centre is one which floats? Is he aware that one of the reasons why the Japanese have been so successful in capturing trade in South America, to which he was refering earlier, is because they have used this technique? Will he consider this?

I understand the hon. Gentleman's point, but there are two views on this subject.

asked the President of the Board of Trade how many applications for local employment grants he has received in the last year from new industries wishing to start manufacturing establishments in Galloway.

None, Sir, for new projects in the financial year 1965–66. But 17 applications were received in that year from firms already in the area: and offers of assistance were made to 10 projects, two of them new.

Is the right hon. Gentleman aware that Galloway has probably the lowest proportion of manufacturing industry in the country—only 14 per cent.? Would he redouble his efforts to bring manufacturing industry there in view of depopulation and unemployment?

I fully agree that there is a great need in this area.

asked the President of the Board of Trade if he will specify the main sources of recruitment of export officers.

These officers are established civil servants who have entered the Service through the Civil Service Commission.

Is my right hon. Friend satisfied with the recruitment of these officers, and that they include people with a sufficient range of experience of market research and other sales techniques? From what he has said this would not appear to be the case.

On the whole, experience suggests that this is the best method of recruiting. I would not argue that it should never be reviewed.

Is the right hon. Gentleman satisfied that recruitment is satisfactory, in the sense that the officers concerned compare favourably with their counterparts in other countries?

Yes, Sir. I think that is so, but it would no doubt require a very detailed review to prove it absolutely. From the information I have, I would certainly say that this is so.

asked the President of the Board of Trade what representations have been made to him concerning the difficulties of the National Coal Board in recruiting sufficient manpower in Scotland to man developing mines; and what reply he gave.

None, Sir.

Has my right hon. Friend seen reports in the Scottish Press to the effect that the National Coal Board has made representations to the appropriate Government Departments on this matter? Can he give an assurance that the Board of Trade and other Government Departments will not cease in their efforts to diversify industrial opportunities in Fife and other mining areas?

The representations I am conscious of having received from the Coal Board are to the effect that new employment is needed in these areas.

asked the President of the Board of Trade if he will make a statement on the progress made in building the advance factory allocated to Blaenau Ffestiniog in November, 1964.

Purchase of the site for this factory, and the substantial extension required by the company to which it has been allocated, was not completed until March this year. If the company signs the agreement to lease in the near future, construction can begin within about 10 days of signature. The factory will then take about seven months to complete.

Can my right hon. Friend give an assurance that there will be no further delay in building this factory, bearing in mind the increase in the number of advance factories now being built in Wales?

Yes. So far as we are concerned, we are now awaiting a reply from the firm.

asked the President of the Board of Trade (1) whether he will introduce regulations so that bottled and canned beers are sold in future only in pints and half pints; and whether he will make a statement;

(2) whether he will introduce regulations to ensure that in future the quantity of beer sold in cans is indicated on the label of the container.

The Weights and Measures Act already requires closed containers of beer to be marked with an indication of quantity unless they contain less than three fluid ounces or more than one gallon. I have no evidence at present to suggest that it would be desirable to provide also that they should contain only pints and half pints.

Is my hon. Friend aware that the trade in general is selling this liquid in containers of 19 1/3rd and 9 2/3rd. fluid ozs. which is different from the standardised pint and half-pint of 20 and 10 fluid ozs. respectively? Is it not time that consumers were protected by having this liquid sold in quantities popularly understood in order to stop this diminishing pint?

If evidence were forthcoming of a wide variation in the quantities in which prepacked beer is packed, or of a significant variation from the present quantities, consideration would have to be given to presenting an Order in the House.

asked the President of the Board of Trade if be will make a statement about the collision in Aberdeen Harbour on 1st May between the tanker "Pass of Kildrummy" and the seine-netter "Boy David", indicating how it occurred, the damage done, and the compensation involved.

At 5.45 p.m. on 2nd May, the tanker "Pass of Kildrummy" while manoeuvring out of Aberdeen Harbour scraped against the jetty and came into contact with the fishing vessel "Boy David" which as a result sustained damage to her mast and part of her guard rail. I understand the damage caused to the tanker and the jetty was very slight. The question of compensation is a matter for the parties involved.

Can my hon. Friend say what steps he is taking to avoid similar unhappy incidents of this kind?

I cannot see that my body mass is sufficient to prevent collisions of this kind.

asked the President of the Board of Trade what estimate he has made of the loss of potential shipping orders to Scottish yards through the shortage of skilled labour.

Scottish yards with full order books have not been willing to compete for some business on offer, but I cannot estimate how many further orders would have been taken if skilled labour were not scarce.

asked the President of the Board of Trade how many close companies have gone into liquidation since 1st January, 1966; and how these figures compare with the first quarter of 1965.

Separate statistics of the liquidation of close companies are not available.

Would not the right hon. Gentleman agree that there have been a very large number of liquidations and that these result directly from the provisions of the last Finance Act? Would not he also agree that the only crime which these companies appear to have committed is to have risked their own capital rather than that of a rather anonymous number of shareholders, that this is not a crime, and that they should be encouraged rather than put out of business?

Without statistics, I cannot judge whether that is true or not.

Could the right hon. Gentleman say why there are no statistics available?

Not without notice. But I gather that they have never yet been collected.

Is it not a fact that the majority of such liquidations are in property and investment companies and not in normal trading companies?

asked the President of the Board of Trade what is the policy of Her Majesty's Government towards the reduction of the number of privately-owned limited liability companies and their replacement by partnerships of unlimited status.

Her Majesty's Government consider that incorporation with limited liability is a privilege which carries obligations to the public, and intend to provide in the Companies Bill that all limited companies should file their accounts with the Registrar of Companies, and thus make them available for public inspection. It would be open to companies valuing privacy above limited liability to reregister as unlimited or to wind up and carry on as partnerships.

Does not the President of the Board of Trade recognise that the status of limited liability has been a very great benefit to British industry over the past 100 years and that very many of these companies are now having to go into unlimited liability, which is very difficult for them? Should not they be encouraged to retain their limited liability status?

There is a strong case for saying that a company should choose between limited liability, on the one hand, and privacy, on the other.

asked the President of the Board of Trade what was the average number of working days after the end of the month before the publication of the Overseas Trade Accounts for the period January-April for 1963, 1964, and 1965, respectively.

Eighteen and a half, 18¼ and 21.

Is the right hon. Gentleman aware that the figure of 21 refers to a period when these statistics were produced by a computer? Is it not extraordinary, not only that less information is available since these statistics were computerised, but that it takes longer to produce them? Incidentally, the trade figures are usually pretty indifferent, anyway.

I think that the hon. Gentleman is confusing two things. The provisional trade figures, which are usually popularly known as the trade figures, are now being published three days earlier than before and in much greater detail as a result of the installation of the computer.

asked the President of the Board of Trade whether he is aware that the programme of advance factories announced to be built in South Wales and the present employment opportunities known to become available do not meet the need for employment caused by changes in the mining and steel industries and what further action he intends taking to stimulate creation of the 65,000 new jobs required within the next five years.

The programme of seven advance factories of 130,000 sq. ft. which I announced on 9th May is only one of the measures being taken to create alternative employment opportunities in South Wales. I shall continue to use my powers under the Local Employment Acts to assist the provision of new employment in the area.

Is my right hon. Friend aware that well-informed opinion in South Wales believes that there is a yawning gap between the expected jobs as at this time, including those provided by the advance factories, and those coming into existence as a result of the drift from mining and the fact that we have a high-cost mining area threatened by low-cost fuel? Would my right hon. Friend give a clear pronouncement on what could be done?

I have gone into these facts and figures very closely on the spot, as my hon. Friend knows. I think that his anxieties are exaggerated, but if he should prove correct we shall take further action.

In view of the fact that there are publicly-owned factories awaiting tenants, would not my right hon. Friend agree that it is high time that publicly-owned industries filled them?

There are, I am happy to say, very few factories awaiting tenants in South Wales or elsewhere.

asked the President of the Board of Trade whether, in view of present and projected decline in South Wales of employment in the mining and steel industries, he will now review the present practice of using industrial development certificates in order to ensure that their issue reflects the growing need in the area for job opportunities.

The needs of the areas affected by changes in the steel and coalmining industries are and will be taken fully into account in administering the i.d.c control.

Will my right hon. Friend seek to use tougher measures in view of the apprehensions caused by the well-known over-manning of the steel industry and the fact that 14 per cent. of the employment in mining was lost in one year—last year?

The facts which my hon. Friend adduces are among the reasons why we have both extended the development areas in South Wales and announced a further advance factory programme.

Will my right hon. Friend reconsider the present boundaries of the development area in South Wales and include possibly Cardiff and other potential growth points?

No. I think that the present boundaries are right—that is, the widened boundaries which we propose under the powers in the Industrial Development Bill.

asked the President of the Board of Trade whether he will seek to withdraw Imperial preference benefits from the products of South Africa as soon as possible.

No, Sir.

Does not the Board of Trade think it disgraceful that a country which is continually violating our sanctions against Rhodesia continues to receive preference benefit whereas other countries which are observing them do not?

I do not think that it is for us to declare unilateral sanctions against South Africa.

Will the right hon. Gentleman confirm that it remains the policy of Her Majesty's Government to increase trade between this country and South Africa as much as possible?

Yes, apart from the trade in armaments.

Since South Africa is outside the Commonwealth, why should she enjoy Commonwealth preferences?

So are Burma and Ireland, and they enjoy them, too.

Is my right hon. Friend aware that many hon. Members on this side of the House think that the time has come to apply stronger pressures to South Africa in view of her support for the illegal Smith régime in Rhodesia?

That is a wider question than the question of preferences.

Will the right hon. Gentleman confirm that South Africa is our fourth largest customer? Does he see our trade being such that South Africa will continue to be our fourth largest customer?

Certainly it is a large customer.

Would my right hon. Friend be prepared to have a thorough investigation made of the logic of Commonwealth preference in view of what he has just said about countries which are no longer members of the Commonwealth benefiting from that preference?

I have made such an investigation since I saw my hon. Friend's Question, but I am not satisfied that there is any need for change.

asked the President of the Board of Trade whether he will now reconsider his refusal to allow the Royal Borough of Kingston-upon-Thames to achieve economies in administration by concentrating their offices at the Guildhall, Kingston-upon-Thames.

No, Sir. The need to limit office development in the London area is as great as ever.

Does the right hon. Gentleman accept that the offices of a London borough must be in London? Is it fair to ratepayers to force a local authority to incur the extra expenditure involved both in dispersal and the renting of expensive accommodation merely because it suits Government policy?

As the right hon. Gentleman knows, I have done my best to help him with several of his office cases. I am not convinced that a case has been made out here.

asked the President of the Board of Trade what consultations he had with the British Motor Corporation in preparation for their meeting with the Russian trade delegation which visited the company to discuss the possibility of the British Motor Corporation participating in the development of the Soviet motor industry.

None, Sir.

Is not that an extraordinary state of affairs? Can the Minister of State say whether the omission is now being remedied in discussions between himself and B.M.C. in preparation for that firm's attempt to secure the next factory in the Russian car industry?

No industry is bound to consult my Department before receiving a delegation from any country, including the U.S.S.R. In this case the company acted, as it was entitled to do, entirely on its own initiative, although no doubt my hon. Friend noticed that I tried to help B.M.C. by raising this matter with the Soviet Prime Minister when I was in the U.S.S.R.

asked the Secretary of State for Wales if the Welsh Economic Council has completed its study of reclamation of derelict land in Wales; and when he will make the report available.

This study has not yet been completed, and until I have seen a report, I cannot say whether or when it should be published.

I cannot be entirely satisfied with that reply by my hon. Friend. When the report is published will he take urgent action to implement its findings immediately?

I can assure my hon. Friend that when the report is received it will be given the fullest consideration.

asked the Secretary of State for Education and Science (1) if he is aware of the demand for places in the pre-school playgroups now operating; and whether he will take steps, by legislation or otherwise, to provide facilities and control of pre-school playgroups in England and Wales;

(2) how many local education authorities in England and Wales are now supporting pre-school playgroups; whether they are registered with the local authority or local education authority; and if he will seek power to bring them directly under the authority of the local education authority.

I am aware of the useful work which pre-school playgroups are doing for children below school age. Groups may need to be registered by the local health authority but do not come within the ambit of the local education authority. My right hon. Friend cannot reach any conclusion on the desirability of changing the law until he has received and studied the reports of the Central Advisory Councils for England and Wales.

May I ask my hon. Friend what other efforts are being made to get the information the Department requires before taking further action?

This is being pursued by the advisory councils, whose reports we are awaiting.

asked the Secretary of State for Education and Science whether, in view of the effect of the selective employment tax on the theatre, opera, ballet, orchestral and other organisations supported by the Arts Council, he will increase the Treasury grant to that Council so that those organisations will continue to receive the subsidies previously considered necessary.

This is a matter which I am considering urgently.

Mr. Blackburn, to ask Question No. 67.

On a point of order. Are no supplementary questions at all allowed on Question No. 64?

Order. I do not usually call hon. Members to ask supplementary questions unless the hon. Member who asked the Question has asked a supplementary.

asked the Secretary of State for Education and Science when the next school building programme will be announced.

My right hon. Friend plans to announce the second part of the programme for 1967–68 before the end of June.

May I ask my hon. Friend to ask his right hon. Friend to inform all hon. Members of the projects which affect their constituencies, in order to prevent other hon. Members having to ask separate Questions?

I will convey my hon. Friend's request to the Secretary of State.

asked the Secretary of State for Education and Science how many university medical schools were built in the past 10 years; and how many were built north of the Trent.

None, Sir.

Does my hon. Friend realise that there is a great demand for these medical schools up in the North? Will he give consideration to this?

I shall take note of what my hon. Friend said.

asked the Secretary of State for Education and Science how many students applied for a place in British medical schools in each of the past four years.

This information is not available.

Will my hon. Friend seek to obtain this information and take into account the shortage of places for medical students, especially women? Are we not short of doctors in this country? Something should be done.

During the period to which this Question relates not all medical schools belonged to the University Central Council on Admissions scheme. Therefore, it was not possible to compile full information about the numbers concerned. This year all medical schools which do not belong to the U.C.C.A. scheme have applications being made this autumn for admission in 1967.

In view of the fact that this is very important information, could not the Secretary of State be persuaded to ask the medical schools to supply it?

As I said, all medical schools which do not belong to the U.C.C.A. scheme have applications being made this autumn for admission in 1966–67.