HC Deb 22 February 1955 vol 537 cc1065-6
47. Mr. Edelman

asked the Prime Minister whether he will appoint a Select Committee to inquire into the expenditure of public money for the provision of air craft, for which there has been no adequate return; and to inquire, further, into the restrictive arrangements which now exist between Government Departments and the Society of British Aircraft Constructors or designing companies, with special reference to the methods used by Government Departments in allocating and financing development and production contracts.

The Prime Minister

No, Sir. Experiment does not cease to be imperative because it is not invariably successful. I see no need to add to the machinery which exists, and on which the House relies for the examination and investigation of public expenditure. As regards the second part of the Question, no such restrictive arrangements exist. The awarding of contracts to the various firms is a complicated problem which must be viewed from many angles and decided on its merits.

Mr. Edelman

Is the Prime Minister aware that the aircraft ring—the designing firms of the Society of British Aircraft Constructors—is throttling aircraft production? Is he aware that this ring has absorbed vast subsidies in the form of development contracts without giving an adequate return? Does he not consider that this situation requires special examination and remedy?

The Prime Minister

That is a very complicated question, and I think I should like to have the advantage of seeing it on the Order Paper first.