HC Deb 20 February 1939 vol 344 cc35-6
63. Mr. T. Johnston

(for Mr. A. V. Alexander) asked the Secretary of State for Air what is the total capital expenditure up to date for the purpose indicated in paragraph 30 of Command Paper 5944 relating to Defence; how many factories have been, or are being, provided by this expenditure; what are the names of the firms who have been entrusted with their management; and whether the Government retains complete ownership of those new factories, and extensions to existing factories, which are being erected by firms in the aircraft industry?

The Under-Secretary of State for Air (Captain Harold Balfour)

Provision for the purpose indicated has been made in Air Estimates since 1936 under Vote 4, Sub-head H, and the total expenditure to date is approximately £12,000,000. Seven new factories in addition to the six comprising the engine group have been completed or are in course of completion. These factories are under the management of the Austin Motor Company, the Bristol Aeroplane Company, the Daimler Company, the De Havilland Company, Messrs. Hobsons, Machine Products, Limited, Lord Nuffield, Rootes Securities, Limited, the Rover Company, and the Standard Motor Company. The answer to the last part of the question is in the affirmative.

Mr. Johnston

Do I understand from the answer that while the firms mentioned are in control the Government retain absolute ownership?

Captain Balfour

Yes, Sir.

Mr. Garro Jones

Does any part of the scheme envisage what shall be done with these factories when their useful present purposes come to an end, seeing that a large amount is at stake? Will they be sold to the people who at present use them at one-tenth of the cost to the Government?

Captain Balfour

That is a different question, but if the hon. Member will put it down I will give him an answer.

Lieut.-Commander Fletcher

Can the hon. and gallant Member say what contribution the Government make to the running expense of these factories?

Captain Balfour

Not without notice, but the actual terms of management were given on 17th February, 1937, in reply to a question in this House.