HC Deb 01 February 1956 vol 548 cc902-3
8. Mr. Ernest Davies

asked the Minister of Transport and Civil Aviation what revised estimate he made of the loss on disposal of vehicles by the British Transport Commission before proposing to legislate to terminate the Transport Levy.

Mr. Watkinson

A reassessment was made of the capital loss based on the latest information available. With other compensation payable to the Commission under the Transport Act, 1953, the total amount was estimated as approximately £12¼ million.

Mr. Davies

How was it possible to arrive at that estimate when the disposals which were planned in regard to the parcels, meat and remaining vehicles had not taken place? Does this mean that, the estimate now having been fixed at £12 million, the Minister will abandon all further sales so that the loss falling on the Commission will not be greater than that amount?

Mr. Watkinson

First, this is an estimate, and, secondly, before long the House will no doubt be discussing legislation upon which this whole question can be examined.

Mr. Davies

Will the Minister give an undertaking that if the estimate is greater than that, the Government will, in view of the proposal to terminate the Levy at the end of the year, bear that loss, and that it will not fall on the Commission?

Mr. Watkinson

If the hon. Gentleman would care to put down that question, I will answer it.