4.
CONFIDI.
Although unemployment (4,500 out of total of
104,000) is above the national average, the industry's
performare compared with the TC's forecasts, shows
(a) a greater labour force
.(b)
(၁)
surplus capacity being eliminated too slowly
(spindles to reduce by 56% in 1975 are down
by only about 13%)
investment £15m., or less compared with
£15/25m. (IRC re-equipment facilities were
greatly under-used)
(d) production down in 1970 and 1971
In sum the industry once again presents a
picture of having as a whole failed to adjust early
times may have been hard but apparently are
enough;
not hard enough.
5. Most of the present fuss is coming from the
smaller and weder firms who tend to form the majority
in the British Textile Employer's Association (BTEA).
Rani
Although they have asked for, and been given, a long
transitional period(2 years) before relying on
tariffs alone, these more vulnerable sectors are
The
becoming more nervous as 1. January approaches,
bigger groups on the whole continue to speak fairly
confidently about the future.
6.
A variety of factors cause the present higher
level of unemployment in Lancashire.
The general
state of the economy, (the July measures may have
accentuated a shift in the pattern of consumer
expenditure towards consumable durables), the combina-
tion of static demand and production, rising costs,
2.
/ continuing
CONFIDENTIAL
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