HC Deb 06 July 1925 vol 186 cc39-40
89. Mr. BROAD

asked the Secretary of State for War whether, while numerous dismissals of workmen have been taking place in Woolwich Arsenal, orders for only 12 tanks (Mark 1 A) have been given to the royal factory; whether he is aware that the price of production of this arm is £6,190 each at Woolwich, while the bulk of the orders have been placed with private contractors at a price approximately £2,000 higher; and, if so, will he say what considerations have actuated the Government in favouring private contractors at the cost of the taxpayer by these arrangements?

90. Mr. ROSE

asked the Secretary of State for War whether, while numerous dismissals of workmen from Woolwich have been taking place on the ground of slackness of work, many millions of small arms cartridges, 303 Mark VII, have been placed out to private contractors at approximately £1 per 1.000 more than the Arsenal cost of production; and, if so, if he will say what considerations have actuated the Government in placing contracts outside the Royal Arsenal under these conditions?

The FINANCIAL SECRETARY to the WAR OFFICE (Captain Douglas King)

I will reply to these question together. The bulk of the orders for tanks has not been placed with trade firms. Orders both for tanks and small arms ammunition have been given to trade firms in accordance with the policy of not depending entirely on the ordnance factories for the production of war material in emergency. As regards the comparison of prices as between the ordnance factories and the trade, it is not in the public interest that these figures should be given, but I must not be taken as accepting the hon. Member's figures as correct.

Major H0RE-BELISHA

Does the hon and gallant Gentleman not think it fair to give preference to Government employés in these matters?

Captain KING

It is not a question of preference, but a question of policy as to where these orders should be given and where we could turn in case of emergency.

Mr. WALLHEAD

Is it not a question of economy as well, that trade firms should have the work when their contracts are not disadvantageous to the country? Are those contracts more?

Captain KING

If the hon. Member will refer to the answer, he will see that I cannot undertake to compare prices.