HC Deb 02 April 1947 vol 435 cc2018-21
24. Air-Commodore Harvey

asked the Parliamentary Secretary to the Ministry of Civil Aviation when it is proposed to lay before Parliament the accounts of the three air corporations.

Mr. Lindgren

My noble Friend is anxious that the accounts of the three Corporations should be laid before Parliament at the earliest practicable date. His wishes have been conveyed to the Corporations, and discussions are taking place as to how best to achieve this object.

Air-Commodore Harvey

In view of the delay in presenting these accounts and the apprehensions concerning them, will the Minister do everything possible to see that they are presented at the very earliest opportunity?

Mr. Lindgren

Yes, Sir. That is my noble Friend's desire. But I think I ought to say, on behalf of B.O.A.C., that its ramifications are world-wide, that its accountancy and audits have to be undertaken in various parts of the world, and that the collation of these accounts is a difficult task. The last took 11 months, but my noble Friend will not be satisfied until that period is very materially reduced.

Mr. Ernest Davies

Will the hon. Gentleman explain to those concerned that these accounts should be as fully informative as those of the London Passenger Transport Board, and not as uninformative as those of the B.B.C.?

Mr. Lindgren

They are required under the Act to conform to the best commercial standards. My noble Friend has already had discussions with the Corporations. I can assure the House that, as a consequence of those discussions, the proposed form of the accounts will be very informative indeed, as compared with normal commercial standards.

Major Haughton

Is the hon. Gentleman aware that what seems to us a perfectly reasonable request, to have these accounts put before us, is sidetracked every time that we ask it? The accounts may be difficult, but they are no more difficult than those in commercial concerns, and in connection with these and other matters, when we have asked for accounts they have not been informative.

Mr. Lindgren

With great respect, I think that that is not according to the facts. If the hon. and gallant Member will look at the accounts which were placed before the House on 20th March in respect of 1945-46, I think he will agree that they are in a very good form and quite informative.

Mr. Beswick

Does the cost of new aircraft appear?

Mr. Lindgren

The effect of the cost will. As to the actual details of cost, I am not sure.

Colonel Gomme-Duncan

In view of the fact that the hon. Gentleman has already informed the House that deficiency payments to date amount to over £15 million, will he not agree that something more detailed in the way of accounts should be presented to the House, in view of what must be world-wide losses, so far as I can see?

Mr. Lindgren

A supplementary question couched in that form gives an entirely wrong impression. The deficiency referred to is over a period of years, from 1940 to 1945; and, in fact, has been shown in the accounts given each year. Each one of those accounts has been laid before the House, and it was open to the House to discuss them at that time.

Mr. Mikardo

In view of the fact that next year the accounts will cover the transitional period in which there has been heavy expenditure, would the hon. Gentleman ask the Corporations to ensure, particularly, separation out in the expenditure accounts of now recurrent special costs from regularly recurrent costs?

Mr. Lindgren

That will be the desire. I think that I ought to point to that certain costs, and the deficiency which has been referred to already, would have been greater had the Corporation borne all the costs that they ought to have borne. There were many costs carried on Air Ministry Votes and Departmental Votes that were clearly appropriate to the operation of air lines.

26. Mr. Ernest Davies

asked the Parliamentary Secretary to the Ministry of Civil Aviation if he will state the fees payable to each of the chairmen and members of the Boards of B.O.A.C., B.E.A.C. and B.S.A.A.C., who were serving thereon at 28th January, 1947.

Mr. Lindgren

As at 28th January, 1947, the annual salaries of the chairmen of the three Corporations were £7,500 (British Overseas Airways Corporation), £6,500 (British European Airways Corporation), and £6,000 (British South American Airways Corporation). Each of the three deputy chairmen was in receipt of an annual salary of £1,500 for part-time services. Other members, except those who were full-time salaried employees of the Corporations, received annual salaries varying between £1,000 and £1,500 according to their duties. Those member who were full-time employees of the Corporations received no additional remuneration in respect of their offices as members.

Mr. Davies

Do these gentlemen who serve on these boards receive any expenses in addition to their fees?

Mr. Lindgren

Yes, Sir. In the B.O.A. C.,£2,000 per annum; in the B.E.A.C., £1,000; and in the B.S.A.A.C., £500.

Mr. Davies

Does that refer only to full-time or full-time and part-time men?

Mr. Lindgren

No, Sir. These expense allowances are for the chairmen of the corporations.

Mr. Erroll

Are these expenses the maximum allowed, or do they get a bit more when they go abroad?

Mr. Lindgren

They are the maximum.

Mr. Mikardo

Does the hon. Gentleman admit that the chairman of the B.O.A.C. is worth nine and a half Members of Parliament, or one and nine-tenths Cabinet Ministers?

Commander Noble

Are these expenses free of tax?

Mr. Lindgren

That, I think, is a question that ought to be addressed to the Treasury. [HON. MEMBERS: "No."] Quite frankly, I do not know. I will ascertain the fact and let the hon. and gallant Gentleman know.

Colonel Gomme-Duncan

May I ask what proportion of these highly salaried persons are representative of Scottish interests?

Mr. Lindgren

It appears to me from my service in London as a good Cockney, that we are invaded from Scotland for all the good jobs in considerable numbers.

Colonel Gomme-Duncan

May I have an answer to my question?

Mr. Lindgren

The answer is, that I do not know whether any of the gentlemen concerned are of Scottish descent.