§ Mr. Pawsey
asked the Secretary of State for Trade and Industry if he has decided upon the amount of grant to be made available to the West Midlands industrial development association for 1983–84 and 1984–85 and to the North of England development council and the Devon and Cornwall development bureau for 1984–85.
§ Mr. Norman Lamont
My hon. Friend the Parliamentary Under-Secretary of State for Industry made a statement on 29 June 1983 at column75 in which he said that the West Midlands industrial development association would receive financial support from my Department in addition to significant funding from both local authorities and local industry. Following receipt of an acceptable programme of promotional activities from WMIDA, a grant of £50,000 has been made in respect of 1983–84. It has also been agreed that grant-in-aid of up to £100,000 will be made available in 1984–85.
I have also discussed their budget proposals and forward programmes of promotional activity with the North of England development council and Devon and Cornwall development bureau. NEDC has satisfied me that it will continue to mount a realistic and effectively coordinated programme of events on behalf of the region, which will be incremental to the effort on behalf of the United Kingdom as a whole. I have therefore offered a grant-in-aid to NEDC for 1984–85 of up to £900,000, on the understanding that funding by the local authorities will be not less than their 1983–84 contribution of £300,000.
I am not satisfied that DCDB has demonstrated the need for a substantial increase in grant, nor that a sufficient degree of commitment to a fully and effectively coordinated regional programme by all the local authorities in Devon and Cornwall has yet been demonstrated to justify any change in the matching requirement. I have therefore decided to retain £ for £ matching and to offer a slightly increased grant-in-aid of up to £115,000 as outlined in my reply to the then hon. Member for Newcastle-upon-Tyne, North on 19 January 1983 at columns 144–45.
However if the DCDB can demonstrate that it has the full co-operation of all inward investment promotion bodies in its region and that positive steps have been taken to re-organise its structure, I shall be ready to consider the prospect of a more substantial grant and relaxation of the matching requirements for 1985–86.