asked the Secretary of State for Wales what representations have been made to him by residents of the Heath area concerning the present access to the Heath Hospital.

I have received representations from two residents of Rhydhelig Avenue, Heath, one inviting me to receive a petition.

Is my right hon. and learned Friend aware of the growing resentment and hostility among the people living in the Heath area at the failure of the Welsh Office to provide adequate access to the Heath Hospital? Will he give an assurance that he will undertake negotiations with the city authority to solve this problem?

My officials are in constant touch with the city authority on this matter, which I know is of considerable concern to residents in the area. I repeat that it is a matter for Cardiff City Council, as the responsible highway and planning authority, to decide what measures it should take to deal with the situation.

Does not the Secretary of State agree that although Cardiff City Council has the responsibility for planning, he is responsible for the National Health Service and he should accept a joint responsibility with Cardiff City Council to ensure that this awful problem is soon resolved?

I am anxious to do whatever I can, but I cannot get away from the fact that the appropriate authority in this matter is the city council, and not myself.

asked the Secretary of State for Wales why the Morris 1000 car KUN 766F was not used by a disabled person from the period 11th April 1973 to 9th November 1973 ; if he was aware that this vehicle was in working order and was taken from a disabled person ; and if he will make a statement.

The car in question was withdrawn because a change in the disabled person's family circumstances made her no longer eligible for such a vehicle. A three-wheeler, or a cash allowance if she bought her own car, was offered to her in lieu. The vehicle was then overhauled and held for issue in due course to a patient who qualified for such a car but who was unable to use a Mini. I shall write to the hon. Member.

I thank the hon. Gentleman for that reply. Will he accept that my hon. Friend the Member for Wrexham (Mr. Ellis) and I are most concerned about this matter, because we were assured in correspondence that this car was urgently required? The car was in perfectly good working order. Will the Minister of State say why the car was not issued quickly when we were assured by the Department that someone was waiting for it? Is this an isolated case? Will the Minister of State investigate the allocation of cars in the Principality?

I shall look at the letter which the hon. Gentleman says was written to me in this respect. I can assure him that the Department has operated quite properly and that I have personally looked very carefully into the details. In my original answer I said that the reason we could not leave the car with the lady concerned was that her mother had died and this brought her into the National Health Service category in which she could have a three-wheeler. I shall write further to the hon. Gentleman on this matter.

Will the Minister of State say what he can do for my constituent, Miss Lily Maud Davies? Is he prepared to sell her the car?

The car has now been issued to another person. As I have already said, the £25 per quarter car allowance would be available to the hon. Gentleman's constituent.

asked the Secretary of State for Wales what representations he has received about the proposed closure of Kinmel Camp, Bodelwyddan ; and if he will make a statement.

I have received representations from a number of sources. The camp will close at the end of the current term. Alternative uses for the site are being carefully considered.

Is my right hon. and learned Friend aware that this closure represents a hardship for the western end of the county similar in effect, although much smaller in scale, to that inflicted on the eastern end by the proposed rundown of steel making at Shotton? Will he give an assurance that he will devote as much energy and resources as he can to ensure that the 100 people who will find themselves redundant as a result of this governmental decision are able to find comparable employment without having to move from their present homes?

I accept that there are social consequences as a result of the closure. I assure my hon. Friend that full account was taken of this before a decision was reached, and that Departments will co-operate in making every effort to assist those who are made redundant.

asked the Secretary of State for Wales if he will make a statement on the meeting he had with the Welsh Counties Association on the question of rate support grant.

I met a deputation from the Welsh Counties Committee on 16th November, when it expressed to me its concern about the possible effects on Welsh local authorities of the review of rate support grant for 1974–75. Subsequently it elaborated these views in a written submission which my right hon. and learned Friend the Secretary of State for the Environment and I are considering.

Will the Secretary of State explain why he bothered to meet the Counties Committee, and why he left it with the impression that Welsh ratepayers would have to find a further £11 million in rates whereas he left Welsh Members of Parliament with the impression that £8 million was an exaggeration? Does he not owe the House an explanaation for speaking with two voices on the same subject?

The reason why I bothered to meet the committee is that I am interested in all the arguments put forward about the new formula, which everyone agrees is necessary for the rate support grant. It is too early, as I told right hon. and hon. Gentlemen when I met them, to say what the precise effect of the new formula will be in different areas. The important thing is that we have already announced that we are considering measures to offset the effect on the domestic rate burden. We propose to put up the domestic rate element and also to have a greatly improved rate rebate scheme.

Is it not the case that unless the new formula is amended every one of the new counties, except South Glamorgan, will be worse off? Will the right hon. and learned Gentleman clarify the position and give us a straight answer on that simple point?

I wish it were as simple as that. It is meaningless to make any direct comparison of the actual amounts of rate support grant payable to Welsh authorities for 1973–74 and for 1974–75 because of the changes which will take effect next year as a result of local government reorganisation.

Does the Secretary of State agree that in discussing the Local Government Bill we on the Labour benches were critical of many of its provisions but were assured in Committee, on 14th March 1972, that Welsh local authorities could still look forward to the same level of support from the resources grant? Now that we are obviously not going to have this, will the right hon. and learned Gentleman confirm that we in Wales must have either higher rates or reduced services?

It is premature to say what the precise effect will be. All we can say is that there will be measures to offset the effects on the domestic rate burden.

Is the Secretary of State not aware that one effect of the new arrangements on counties like my own, the new county of Dyfed, which has large rural and industrial areas, will be to impose an additional rating burden upon the factories in the industrial areas? Is he not aware that the effect will be that these areas will suffer more than adjoining areas, such as West Glamorgan, which will not have to bear this increased burden?

I cannot accept that in its entirety. There are no such things as "new arrangements", because the submissions and views put forward by the local authority associations when they met my right hon. Friends, myself and other Ministers last week are being considered. The Government propose, after consideration, to publish a White Paper this month setting out our decisions.

Is the Secretary of State aware that the chief executive officers of the new shadow authorities in Wales are all grievously disturbed following the recent interviews which the representatives of the Welsh counties had with him? Will he explain why these executive officers are all under the impression that their authorities will be worse off? This doubt must be cleared up. Is the right hon. and learned Gentleman aware that the counties are writing to us and they look to us to get a clear answer from him that we in Wales will not be worse off as a result of the rate support grant arrangement? When will it be forthcoming?

As I said earlier, it is meaningless, because of local government reorganisation, to try to compare the present situation with what the situation may be in future. It is clear that there has to be a new formula. The right hon. Gentleman knows full well that the rate support grant is not one of those functions given to the Welsh Office by the Labour Government's Transfer of Functions Order.

On a point of order, Mr. Speaker. Will you allow the Secretary of State an opportunity to withdraw a remark he made in answer to my hon. Friend the Member for Llanelly (Mr. Denzil Davies) when he said that there were no new arrangements? Would the right hon. and learned Gentleman care to withdraw that remark, since the Minister of State is at present serving on a Bill which is advocating new arrangements?

Further to that point of order, Mr. Speaker. I was talking about the formula which at the moment is still under discussion.

asked the Secretary of State for Wales what assessment he has made of the future prospects of small business firms in Wales.

The Government have established special arrangements to deal with the small firms sector of the economy. I expect such firms to continue to benefit from the Government's economic policies.

Will the Secretary of State say what advice he has tendered to the Cabinet about the effects on small Welsh firms of a diminution in cash reserves and investment intentions as a result of the 18 per cent. overdraft rate and the effect upon such firms of the new rate proposals whereby the variable proportion of £60 million will have to be borne by them, thus acting as a deterrent to the attraction of industry and investment?

If the hon. Gentleman has any particular firm in mind I shall be grateful if he will get in touch with me, so that I can look into the matter.

asked the Secretary of State for Wales how many new jobs he estimates have been created in Wales since the passing of the Industry Act.

The information is not available in the form requested. I estimate that projects approved since March 1972, when regional development grants were introduced, and projects currently under consideration are likely to provide 27,000 jobs in manufacturing industries.

With this clear evidence of the success of these policies, will my right hon. and learned Friend resist any pressures to cut down on Industry Act incentives and instead take full advantage of the new EEC regional fund, when it becomes available, to reinforce the success so far achieved?

As my hon. Friend knows, the provisions in the Industry Act are to be made available until 1978. Industry had been looking forward to a continuation of this measure. I agree that we can hope to benefit from the EEC regional fund. As my hon. Friend knows, unemployment in Wales is now at a low level compared with earlier figures. The November figure is the lowest for any month since September 1966. Since March 1972 the number of unfilled vacancies has more than doubled and the current figure is the best total for 20 years.

The right hon. and learned Gentleman talked about success. May I ask him how many jobs have been lost to Wales following the withdrawal by the Government of investment grants?

If the hon. Gentleman will table a question on unemployment I shall be delighted to give him a straight answer, particularly at the present time.

asked the Secretary of State for Wales what estimate he has made of the number of council tenants in Wales who pay a lodger's supplement to their normal council rent.

None, Sir. Since the introduction of the Housing Finance Act 1972, rents apply to dwellings and not to the occupants ; there is no longer such a thing as a lodger's supplement.

Does the hon. Gentleman not realise that through sheer ministerial incompetence many council house tenants whose lodgers have left have continued to pay a lodger's supplement because the Minister has wrongly interpreted his own Act? Will he explain why it took him until 29th October to discover that the tenants could be relieved of this charge? Will he apologise to the House, particularly to my hon. Friends and myself, for the fact that he has consistently said in letters that the charge could not be removed? What apology, and, more importantly, compensation, does he offer to those council tenants who, for more than a year, have unnecessarily and often in hardship had to continue paying this charge?

As usual, the hon. Gentleman is in a bit of a muddle. Under the Housing Act 1972, if, when the fair rent is determined for a particular dwelling, the tenant is found to be paying more than the fair rent, whether because a former lodger's supplement had been absorbed into the rent or for any other reason, the tenant is entitled to a refund of the excess.

Does the hon. Gentleman agree that the rent scrutiny boards, following receipt of information from the local authorities, should be instructed to rebate this legally made charge, which is a fault of the Tory Government and of incompetent Ministers sitting on the Government Front Bench?

East is as bad as west, but this matter is well known by the rent scrutiny boards, which are independent bodies.

asked the Secretary of State for Wales what representations he has received concerning the designation of library authorities in Wales ; and what action he proposes to take in this matter.

Representations have been made to me by seven local authorities and a number of Members of Parliament. I am arranging to receive deputations jointly with my right hon. Friend the Secretary of State for Education and Science.

Is the right hon. and learned Gentleman aware that many district councils in Wales are alarmed at the prospect of losing local control of their libraries, particularly as they believe that the inevitable consequence will be a deterioration in the library services? Will he promise not to take responsibility for the library services away from the district councils, particularly as promises were given by the Minister of State when we were reviewing those services during the Committee stage of the Local Government Bill? A promise was then given to the people of Wales that the district councils in Wales, in particular, would have responsibility for the libraries.

On the last part of the hon. Member's supplementary question, what the Minister of State said was clear. It was no more than a confirmation that there is nothing in Section 207 of the Act to prevent a district council in Wales from being designated as a library authority. I am aware that many district councils are anxious to retain their library functions. If the county council agrees, library powers can be delegated to a district council on an agency basis. We are anxious to achieve the maximum efficiency for the public library service, and, with my right hon. Friend who is constitutionally responsible for this matter, who is consulting me, I am anxious to go into the matter in some detail and to have the discussions which we have promised to have with hon. Members and local authorities.

asked the Secretary of State for Wales which organisations in Wales are being consulted about the report of the Commission on the Constitution ; and what part he will take in these discussions.

I shall welcome views from any Welsh organisation or individual, and these will be fully considered by my colleagues and myself.

Will the right hon. and learned Gentleman recall that the Prime Minister rightly said that there should be a reasonable period for consultation and public discussion of the report? Will he consult, in particular, the Welsh Council and Welsh local authority organisations, in view of the implications of the report for them and possibly upon their functions?

I understand that the Welsh Council has already begun a study of the report. I am sure that political and other bodies are also considering it, and I very much hope to receive their views in due course. Indeed, I would welcome their views at any time.

Is the Secretary of State aware that my Welsh right hon. and hon. Friends are largely agreed on this matter and that we should be happy to facilitate the passage of a Bill giving effect to the major recommendation of the report?

I am delighted to hear that right hon. and hon. Members opposite are agreed. I read in a newspaper a report of a speech by the right hon. Member for Cardiff, West (Mr. George Thomas), made, presumably, on behalf of the Labour Party in Wales. I found it very interesting. I did not detect much enthusiasm in it, but it was quite clear.

The Secretary of State must learn to read with care. The Opposition are clear, unanimous and unequivocal on this question. We are united in our determination—

Order. This is the time for questions, not for policy statements.

No one holds you in higher regard than I do, Mr. Speaker. [Interruption.] I am simply casting my bread upon the waters. Is the Secretary of State aware that on this matter the Opposition have declared their position quite clearly, which is for a directly elected assembly in Wales? When may we look forward to the Secretary of State's clear observation on the question?

I was interested to find that the right hon. Gentleman, for the first time for a very long time, appeared to be speaking on behalf of all his colleagues in the speech which he made last Friday. I assure him that I shall study what he says with great care, and I welcome the views which he has expressed. The Government wish carefully to consider this large and complicated report before coming to a decision. We hope to receive, and, indeed, will welcome, views from all interested bodies in Wales, which in many cases will be very different from those of the right hon. Gentleman.

Is my right hon. and learned Friend aware that, unlike right hon. and hon. Members opposite, many of us on the Government side of the House do not wish to bury this matter in a cloud of ambiguity and would welcome a forthright statement from my right hon. and learned Friend to the effect that the report is totally and utterly misguided and that with local government reorganisation, new authorities, and so on, the people of Wales have been pushed around quite enough? The Welsh people want to see the report decently buried as soon as possible.

My hon. Friend has expressed a view which I know exists. The Government intend to put forward their proposals as soon as they are in a position to do so. Those proposals will be put forward clearly and unequivocally, just as the right hon. Member for Cardiff, West (Mr. George Thomas) suggests his proposals were put forward. But we do not intend to put them forward until public opinion has had time to form.

asked the Secretary of State for Wales what representations he has had from medical bodies about the composition of area health authorities in Wales.

My right hon. and learned Friend has had a small number of representations, mainly about the appointment of local medically qualified members to the Clwyd Area Health Authority.

Is the Minister of State aware that many people believe that the major failings of the National Health Service can be traced to the over-representation of doctors, and particularly of consultants, in its administration? Does not the hon. Gentleman agree that in future greater emphasis on preventive medicine, based on the general practitioner service, allied to cottage hospitals and clinics, would be advantageous and that therefore any necessary medical representation on health boards should be preponderantly general practitioner representation?

This is not an easy matter. I, personally, and many other people, went to great lengths to try to find the right answer. Every nomination was very carefully considered. Because the number of appointments which could be made was small, many who were admirably suited to membership could not be appointed. Of the 10 members appointed by the Secretary of State to the Clwyd Area Health Authority, three were doctors.

asked the Secretary of State for Trade and Industry what further consultations he still intends to undertake regarding the proposed Company Law Reform Bill.

I shall continue to undertake extensive consultations both before and during the passage of the Bill.

Will there not be further consultations, in view of the disastrous mishandling of investment banking by London and County Securities? Is it not clear that this company deliberately played upon public uncertainty—

Order. There is a Private Notice Question later on this matter.

Does that mean that I am not entitled to raise this matter at all?

The hon. Member is entitled to, but he will probably lose any chance of catching my eye on the Private Notice Question.

In view of the difficulty of catching your eye later, Mr. Speaker, I shall proceed. Did not this company take advantage of public uncertainty about its property valuations and other reserves to borrow extensively from other financial institutions to lend to unquoted companies about which it knew little or nothing? How does the White Paper erase this wart from the face of capitalism?

I make no comment on the questions raised by the hon. Gentleman on the company. In considering the preparation of the Bill we shall take account of whatever lessons are to be learned from whatever case may arise.

asked the Secretary of State for Trade and Industry what is his present assessment of the amount of crude oil reserves in the North Sea.

Recoverable reserves of the fields in the United Kingdom sector now considered to be commercial are estimated to be about 800 million tons. This figure will increase as further fields are discovered or existing fields proved commercial.

What action are the Government taking to speed up the flow of oil to our shores? Will the Minister guarantee that the nation will receive the maximum profit from these oilfields, or will there be a repetition of the situation which has arisen with the National Coal Board, in that the Government have compelled the NCB to sell off its brick interests, which made a profit of £1½ million last year, at a time when the NCB is short of money to pay decent wages to the miners?

We are doing everything we can to help speed up development. We have asked companies to let us know of any matters that may be holding up their work so that we can take appropriate action to see that there is no delay in bringing the oil ashore. In reply to the second point, a review of licensing policy is being carried out, and a statement will be made in due course by my right hon. Friend.

Has my hon. Friend made an assessment of the probable deposits off the north-west of Scotland, including the Minches?

No, we have not been able to make an assessment there. We await the time when exploration goes there. It would be premature for me to express an opinion at this stage.

Has the hon. Gentleman made an estimate of the price at which these deposits will be brought ashore?

Not yet, Sir.

As the Minister has given an indication of the substantial reserves in the North Sea although they are conservative, will he confirm that it is desirable to go ahead with exploitation as quickly as possible? Will he also indicate the probable reserves available in the North Sea on both the United Kingdom side and the Norwegian side?

My hon. Friend is right. We are, as part of our policy, pushing ahead with exploration and exploitation as fast as possible, and the Tightness of that policy has been proved. On the reserves, I refer my hon. Friend to the report made to Parliament in May, which we will update as soon as we have results, and we shall then discuss the exploration work.

Do the efforts which the Minister says the Government have put into speeding up the day when North Sea oil will come ashore mean that the level of participation by British industry in providing equipment and services is likely to be that much less than it would otherwise have been?

No, I did not say we were speeding it up. I said that we were doing whatever we could to avoid any delays arising and to make sure that there were no impediments to the oil companies bringing the oil ashore as soon as possible. I do not think that the question of participation arises from that answer.

Will the Minister assure the House that we shall not be buying our own North Sea oil at the inflated Middle Eastern prices? Is not that exactly the case for a much greater extension of public ownership in the North Sea?

The right hon. Gentleman will not expect me to anticipate the price at which the oil will be brought ashore. I think that he will agree that the efforts being put in by privately financed companies show that they have been devoting their tremendous experience of technology and know-how to developing these fields as rapidly as possible.

asked the Secretary of State for Trade and Industry how many days' worth of oil at the current rate of consumption is now held in reserve in the United Kingdom ; and how much is estimated to be in shipment.

As previously pointed out, assessments of oil stocks and oil in transit can fluctuate considerably over a short period, for a variety of reasons, and figures quoted on a week-to-week basis could be misleading. Notwithstanding the heavy stocking undertaken by consumers, the indications are that there has been no significant change in total oil company stocks during the last week.

Does not my hon. Friend agree that even a 10 per cent. cut-back to industry is already beginning to have a serious effect—which is likely to increase—on production and employment? Does not my hon. Friend believe that it is time for more immediate measures to cut back on less essential consumption of energy, by introducing immediate rationing to overcome the chaotic distribution position, by cutting back less essential lighting, such as street and motorway lighting, and cutting back TV transmissions to three hours a day? Would not these measures help to channel energy into the greater priority requirements of industry and to keep the economy afloat?

We are doing everything we can to see that industry suffers the minimum amount of damage from the disruption of supplies, and regulations have been made to reduce electricity consumption. The appeal made by my right hon. Friends, myself and others for the maximum economy in the use of all types of fuel remains valid. If it is necessary to bring in more stringent measures to reduce demand, this will be done.

In view of the admission by the CEGB that it is reducing voltages to conserve oil supplies, the delay in the turnround of tankers, the Road Haulage Association's demand for rationing of diesel oil, the chaos caused by motorists scrambling for petrol and the difficulty of local authorities in getting oil supplies to heat schools and old people's centres, when will the Government stop dithering and take positive action?

The hon. Gentleman should know that the voltage reductions are due to a reduction in coal supplies and the threat to the production of coal. They are also due, in part, to the action being taken by the electrical power engineers. Those are all part of the pattern that made it necessary for the CEGB to reduce voltages. To the best of my knowledge, no tankers are lying offshore waiting to discharge, nor is there a shortage of ullage.

As the oil supply situation is not just a short-term problem and as we are unlikely to be able to buy oil at the prices we have paid over the years, will my hon. Friend discuss with the Department of the Environment the indecent haste with which some years ago British Rail scrapped steam engines? Is he aware that in many countries the efficiency of the steam engine has been increased out of all proportion in the last few years, particularly in Czechoslovakia? Will he take this suggestion seriously and initiate discussions?

I am sure that my right hon. and learned Friend the Secretary of State for the Environment will note what my hon. Friend has said.

Is the hon. Gentleman willing to comment on the current cost of imports of oil to this country? Will he comment on his discussions last week with Sheikh Yamani on the likely price if oil coming from OPEC countries to the United Kingdom?

I am unable to give the hon. Gentleman any indication of cost, except that it is a matter of considerable uncertainty and it will certainly be higher than it has been in the past. Beyond that it would be premature for me to express any opinion about the price level of the rises that may ultimately take place.

asked the Secretary of State for Trade and Industry whether he will use his powers under Section 12 of the Fair Trading Act 1973 to direct the Director General of Fair Trading to investigate the practice of certain companies in advertising goods, accepting deposits from consumers and subsequently going into liquidation before the goods are delivered.

My powers under Section 12 do not enable me to direct the Director General to investigate particular practices, and, as I told the House on 19th November in reply to my hon. Friend the Member for Merton and Morden (Miss Fookes), I intend in general to leave the Director General to evolve his own order of priorities.—[Vol. 864, c. 919–20.]

Is my right hon. and learned Friend aware that there is widespread concern among many consumers and trading standards officers about this practice? Is he satisfied that it is always made, clear to consumers on such occasions that if they have paid a deposit on an item in stock, at the time of liquidation they may have a lien on it?

I appreciate that there is concern about this problem in general terms as stated by my hon. Friend, and I have given it some consideration. It is being considered, too, by the principal associations concerned with advertising and the publications in which the advertisements appear. I am hoping that an agreement can emerge on some more generally useful solution. I shall bear in mind the last point made by my hon. Friend.

As the right hon. and learned Gentleman will not give the direction for which his hon. Friend the Member for Gloucester (Mrs. Sally Oppenheim) asked, may I request him to consider giving a direction to the Director General to investigate the sale of Christmas killer toys? Does the Minister realise that the situation outlined in the Sun cannot wait until the Home Office eventually stirs itself? Does not the right hon. and learned Gentleman appreciate that the regulations reportedly being considered by the Home Office are not sufficiently comprehensive?

I have seen examples of the kind of dangerous toys to which the hon. Gentleman referred. My hon. and learned Friend the Minister of State for the Home Department has been considering the matter and I am sure that the Director General will have noted the situation. The need for safe toys is something to which attention should be given as urgently as we can manage it, but it ought not to be done in a way that is ill-directed or is not likely to work at the end of the day. That is why it would be wrong to suggest to the hon. Gentleman that the Director General is likely to be able to take swift action on the matter in time for Christmas. I hope that people will take account of the potential dangers lurking not only in toys but in other products on the market. I take account of the concern expressed by the hon. Gentleman.

asked the Secretary of State for Trade and Industry whether, in order to conserve fuel supplies, he will prohibit all flying on Sundays until further notice.

asked the Secretary of State for Trade and Industry if he will prohibit all night flying, including take-offs and landings, from Heathrow Airport on Sundays during the present emergency.

We are discussing with airline operators ways in which services can be rationalised and operating procedures adjusted to save fuel, but it would not be practical to ban all Sunday flying.

Is my hon. Friend aware that any economy that can be made in the use of aviation fuel by restricting aircraft movements will be warmly welcomed by my constituents, and that it would seem proper that such users of fuel should suffer at least the same 10 per cent. cut as is being imposed on other users? I am not asking for a 50 m.p.h. speed limit on aeroplanes, but my hon. Friend will recognise that a reduction in movements at Heathrow is urgently necessary.

I am grateful to my hon. and learned Friend for explaining that there is some limit to his desire to stop aircraft from flying. The airline industry is subject to the cuts that are applicable to the rest of industry.

Is the hon. Gentleman aware that my Question asks for a ban on Sunday flying from Heathrow? Will he consider that? Would not it be a good plan, during the whole of the emergency, to ban any further test flights by Concorde, thereby saving money and bringing nearer the day when the aircraft is brought to an end?

I had noticed the hon. Gentleman's Question, and I had even expected having to tell him that the last point he has raised is another matter. With regard to the hon. Gentleman's desire for economies, perhaps I may tell him that it does not secure any kind of economy to cram all the movements into the daytime period. I am sure the hon. Gentleman appreciates that that would be most unacceptable, and damaging to the industry as a whole.

When my hon. Friend is considering the matter, will he bear in mind that British airlines, holiday tour operators, and so on, are in competition with foreign operators, and that it would be wrong to restrict our home-based activities to a greater extent than that to which foreign operators are subject?

I assure my hon. Friend that I am aware of the importance of maintaining reciprocity between our airlines and foreign ones. I assure my hon. Friend, too, that we are aware of the commitments involved in many of the charter enterprises and the extent to which people's expectations of holidays are bound up with them. I can, however, give my hon. Friend some comfort by saying that we are in close touch with the industry to discuss the basis upon which, within the overall allocation, priority should be assigned to individual types of activity.

What overtures have the Government made to the British Airports Authority about the use and monitoring of executive jets and private company aircraft? Secondly, will the hon. Gentleman tell the House what advice the Government are prepared to tender to civil aviation companies about the use of scheduled and charter flights, and particularly holiday flights where forward planning is necessary?

I dealt with holiday flights in my answer to the supplementary question asked by my hon. Friend the Member for Rutland and Stamford (Mr. Kenneth Lewis). I assure the right hon. Gentleman that we are aware of the problem and that we are in close consultation with the charter companies about the implications of the situation.

asked the Secretary of State for Trade and Industry if he will commission a study into how the requirements of the oil companies for offshore drilling and production platforms can best be met in the national interest.

The requirements of these platforms will vary according to the conditions at the sites where oil or gas is found. My Department keeps in touch with the operators and construction companies so that any constraints on platform production can be examined urgently, and specific studies are commissioned when particular problems are identified.

Is the hon. Gentleman aware that many people in Scotland very much resent the fact that we seem to be presented with the choice of building concrete platforms for deep waters at Drambuie or not building any in Scotland? Is the Minister aware that instead of submitting a memorandum to the public inquiry, largely outlining the obvious economic advantages of building these platforms in this country, his Department should carry out a thorough examination into the various designs of concrete platform so that we can come to a rational decision on where it would be best to build them?

The hon. Gentleman will not expect me to comment on a quasi-judicial inquiry that is going on. We are commissioning a wider-ranging exercise covering the United Kingdom as a whole for sites, and, in addition, internally, the new venture managers, brought in by the offshore supplies office, are urgently studying alternative platform designs, among other things.

The Minister will be aware that the British Steel Corporation has issued a design for a platform of steel and concrete which, it says, can be built in different parts of the country and assembled perhaps on the Clyde or the Forth. Will the Minister make sure that this scheme of things is given the closest and most sympathetic attention?

I agree with the hon. Gentleman, and I give him that assurance.

asked the Secretary of State for Trade and Industry if he will make a statement on steel price increases, and their effect on the economy.

The increases made by the British Steel Corporation from 16th November still leave its prices substantially below those of its principal competitors abroad. In announcing them the corporation said that it had very much in mind the need to contribute to the fight against inflation. The independent United Kingdom steel producers have also exercised restraint. As my hon. Friend told the hon. Member on 12th November, an average increase of 1 per cent. in the price of steel might raise the retail price index by about one fiftieth of 1 per cent. It would probably add about 0·06 per cent. to industrial costs.

The Minister is not telling the House the full story. Will he be honest and tell the House who is deciding the price increases? Is this the first of a number of price increases in order eventually to raise the price to that in the Common Market? Are we, in the United Kingdom, making our own decisions? Has the Minister any executive power or authority in a British steel industry? Finally, will the Minister inform the House how he expects the British steel industry to be competitive if, outside of market forces, for political reasons I suspect, or, for Common Market purposes, there is a unified, common price system?

The decision on prices was one for the corporation which, as I told the hon. Gentleman, took full account of the importance of the Government's counter-inflation policy. There is no obligation on the British Steel Corporation to align its prices with those of the European producers, which themselves vary. The British Steel Corporation, subject to the restraint about non-subsidisation and so on, has a freedom which I believe will enable it to operate efficiently for the purposes of the Community and to build up the industry that we want.

Has not the situation arisen in which, because of the competitive price of British steel, we are exporting it and having to buy back in certain areas from abroad, which is certainly to the detriment of our economy and is causing difficulties in certain areas in this country, certainly in ship plate?

The corporation has considerably cut back its exports below the level which it had anticipated in order that it can give further production to the home market. I have had discussions with the industry, the CBI and a number of other people to see whether the system of allocation can be improved upon and to overcome some of the problems, which are world wide, with regard to the shortage of steel which is affecting parts of our own industry.

asked the Secretary of State for Trade and Industry what is the latest balance of trade deficit for the current year.

In the first 10 months of this year the current account in goods, services and other transactions is estimated to have been in deficit by about £950 million.

Does not the right hon. and learned Gentleman think that this is an absolutely disgraceful situation? Does he recall the political mileage made by his right hon. Friend just before the last General Election, when the deficit that month was £31 million? In October the deficit was almost 10 times that figure. Is it not time that the right hon. and learned Gentleman got a grip on the situation and urged his right hon. Friend to do the same, to control the import of unnecessary raw materials and semi-manufactured goods which we could produce ourselves and generally to put some back into promoting British exports?

The hon. Lady must appreciate that my right hon. Friend and, indeed, many others have been devoting a great deal of effort to the promotion of British exports. The volume of our exports has increased faster than the volume of our imports. They have been increasing at a record rate. To suggest, as the hon. Lady does, that it would be sensible to cut down on what she describes as the import of unnecessary raw materials would be to deprive British industry of the raw materials which it manifestly needs to expand its exports.

Nonsense.

While I am sure that we all hope and expect that the postion will improve, may I ask how much of the £950 million deficit was in respect of trade with the EEC?

The volume of our exports to the EEC has been expanding faster than the average of our exports—faster, indeed, than the volume of our exports to Western Europe as a whole. Imports from that area, as from others, have been increasing as well.

In the light of the figures which the Minister has given and against the background of a more difficult economic situation, brought about partly by the energy crisis, does the Secretary of State for Trade and Industry still adhere to his view that 1974 will be a year of rapid, go-ahead economic expansion in this country?

The year 1974 should be a year in which there will need to be a continued emphasis on the expansion of our export trade. The prospects for such expansion should remain good, and they remain as important—indeed, more important—as when my right hon. Friend last spoke about them.

asked the Secretary of State for Trade and Industry what progress is being made in increasing Great Britain's share of orders for oil rigs and tenders.

A specialist builder of mobile rigs was established at Clydebank last year and in the field of supply vessels there is encouraging evidence that the United Kingdom shipbuilding industry is now taking greater advantage of the North Sea market.

Is not that answer still disappointing? In view of the increasing importance of North Sea oil to us, will not my hon. Friend take the initiative again with engineering and shipbuilding firms in this matter?

Certainly we want to do better but, far from being disappointing, the figures are very encouraging. For example, by comparison with the end of 1972, when we had eight supply vessels on order or under construction, the figure to date is 19.

May we have some indication of any company in the United Kingdom, with the exception of Marathon, capable of building semi-submersible drilling rigs? What is the Department's present facility for evaluating designs for production platforms and drilling rigs?

As I indicated earlier, the offshore supplies office is setting up a study of designs. Regarding alternative companies for construction, the opportunities exist and the full range of our regional assistance for industry is available.

asked the Secretary of State for Trade and Industry what new industries have been located in the Consett and Stanley areas of County Durham as a result of British membership of the Common Market.

So far this year 28 firms have decided to locate projects in the Northern Region which are new to the region. Two of them have chosen sites in North-West Durham. It is not possible to say how far our membership of the EEC will have weighed in their decisions but it has probably been an important factor.

What efforts are the Government making to make the Council of Ministers aware of the requirements of special development areas, such as Consett and Stanley? As the straight answer to my original Question was obviously "None", why did the Minister not say so?

On the contrary, our regional policy is constantly a matter for discussion. I cannot add further to what my right hon. Friend the Minister for Industrial Development has said on many occasions on this subject.

asked the Secretary of State for Trade and Industry where the 60 new jobs which have gone to the North-Western Region as a result of Common Market investment are situated : and whether any have gone to Merseyside.

These jobs will be created by a few small projects in different parts of the region but not in Merseyside.

Will my hon. Friend bear in mind that unemployment on Merseyside is higher than in many special development areas? What action is he taking to stimulate employment on Merseyside?

Merseyside, nevertheless, has the full advantages of a development area. As my right hon. Friend the Minister for Industrial Development has explained, an operation called "Marketing Merseyside" has been set up, in conjunction with local authorities, employers and trade unions, to improve the image of Merseyside. Although I recognise the difficulties of Merseyside, the plain fact is that the number of vacancies registered has increased and unemployment has dropped.

Is not the hon. Gentleman aware that we still have over 40,000 workers unemployed on Merseyside? Is he aware that the rate of unemployment there is higher than in any special development area? Surely the time has come when Merseyside should become a special development area. Will the hon. Gentleman raise the matter again with his right hon. Friends in the Government so that more positive action is taken to help the people of Merseyside?

I repeat that we are well aware of the difficulties of Merseyside. It was only the other day that my right hon. Friend had meetings with a deputation from Merseyside, during which this matter was discussed. The matter will be kept carefully under review.

asked the Secretary of State for Trade and Industry what arrangements are being made to maintain supplies of fuel to air services to Orkney and Shetland.

The system of allocation to suppliers is intended to make all possible economies while maintaining an adequate service to the public. I am at present reviewing the question of establishing priorities within the overall allocation to the industry, and am well aware of the importance of maintaining essential communications to Orkney and Shetland as well as to other island communities.

Is the Minister aware that it is important not only to maintain communications to Orkney and Shetland but to provide for enormously expanded demand for oil to go to the oil rigs? At present the allocation appears to be based on a 10 per cent. reduction on last year's figures. This will be impossible to carry out if the expanded demand for oil and for the trade of Orkney and Shetland is to be met? Will the hon. Gentleman look into this matter?

I am happy to be able to tell the right hon. Gentleman that the servicing of oil rigs is already accepted as a priority case, as also are air ambulances, and this will, therefore, exempt them from the 10 per cent. cut-back.