HC Deb 20 March 1940 vol 358 cc1974-5
42. Mr. Stokes

asked the Minister of Supply whether he will state the amount paid to the Nuffield Mechanisation Company by way of fee for managing the production of the Bofors gun; and whether any other payment whatsoever is made to that company for work in connection therewith?

The Minister of Supply (Mr. Burgin)

It would be contrary to established practice to state the fee paid to Mechanisation and Aero Company, Limited. The only payments made other than the fee are those recouping the firm for its actual expenditure on the work of preparing the factory and producing the guns.

Mr. Stokes

Will the Minister say on what basis that remuneration is based?

Mr. Burgin

The principle upon which fees are paid for managing agency factories are settled by the Government as a general policy applicable to all Service Departments.

Mr. Stokes

Will the Minister state the basis on which remuneration is paid for, the manufacturing process?

Mr. Burgin

That cannot be done by Question and Answer. Quite obviousy, managerial fees for conducting an agency factory producing a Service equipment must follow in the circumstances, and the general principles are laid down by the Government.