43. Mr. RARERasked the Secretary of State for Air what is the preliminary arrangement with the Government on which Messrs. Handley Page, Limited, and Messrs. S. Instone and Company, Limited, have resumed their passenger air services; and what are the terms on which definite agreements with these firms are now being negotiated?
§ Mr. McCURDYThe basis of the interim agreement is that an approved number of flights, probably one each way, is secured from loss to the company by subsidy from the Government subject to a maximum liability. The profits, however, are limited to 10 per cent. of the receipts from passenger fares and freights, irrespective of whether the flight costs more or less than the subsidy.
§ Sir W. JOYNSON-HICKSWhen will these schemes be completed, and are they to be submitted to the House?
§ Mr. McCURDYI must ask for notice.