HC Deb 31 March 1943 vol 388 cc181-2
59. Sir L. Lyle

asked the Minister of Supply whether he can make a detailed statement of the reasons which have actuated him in buying the Barrow Hematite Steel Company?

The Minister of Supply (Sir Andrew Duncan)

The purchase is not of the shares of the Barrow Hematite Steel Company, but only of part of their works. A contract has been made for the purchase of the steel works and hoop works of the Company in order to carry out improvements which the Company themselves were not in a position to undertake. The modifications will be directed in the main to improving the quantity and quality of the steel ingot production.

Sir I. Albery

May I ask whether this transaction is not subject to the consent of the shareholders?

Sir A. Duncan

That is a matter for the Company, not for me.

Sir Percy Harris

Will the original buildings be returned to the Company intact after the war? If improvements accrue, will they be for the benefit of the shareholders or the public?

Sir A. Duncan

These buildings are the property of the Company. They were part of the works which the Company decided to abandon, before the war.

Mr. Thorne

Does it not show what the Government can do when private enterprise fails?

Mr. Stokes

Does it mean that the Government have purchased the freehold?

Sir A. Duncan

The Government have purchased the property, but whether it is freehold or leasehold I cannot say at the moment.

Mr. Stokes

If it is not freehold, it will revert to the landlord.

Sir A. Duncan

No, Sir.

Mr. Stokes

Yes it will.