HC Deb 06 July 1937 vol 326 cc175-6
43. Mr. Day

asked the President of the Board of Trade particulars of any way in which the Government are at present responsible for any portion of the insurance carried under the agreement between his Department and the Cunard Steamship Company, Limited, for the new sister ship of the "Queen Mary" that is being built.

Mr. Stanley

In accordance with the provisions of the Cunard (Insurance) Agreement Act, 1930, the Board of Trade have provided insurance for that part of the value of the No. 552 (the new sister ship of the "Queen Mary") which it has not been possible to place in the open market. Of the total value of £4,500,000 for construction risks insurance purposes, the market took £3,760,000, and the Board have provided insurance for the balance of £740,000.

Mr. Day

Do the Government receive the same rate of premium and pay the same rate of discount to the company as would be charged in the open market?

Mr. Stanley

In order not to compete with the normal channels, the Government charge a slightly higher rate of premium than is charged in the open market.

Mr. Magnay

Do the insurance risks include the possibility of the grounding of this second boat on the Clyde when it is launched?

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