§ 32. Mr. Awberyasked the Minister of Transport and Civil Aviation how many of our discarded ships have been sold to companies flying flags of convenience during the past five years; and, in view of the unfair competition with our merchant navy of those who have tax-free and unregulated operations, if he will take steps by introducing legislation or otherwise to prevent our discarded vessels from being sold for transfer abroad.
§ Mr. WatkinsonDuring the past five years, 180 merchant ships of 500 gross tons and over were transferred from the United Kingdom or colonial registers to registry in Liberia, Panama, Costa Rica or Honduras. On the second part of the Question, I would refer the hon. Member to the Answer given to the hon. and learned Member for Aberdeen, North (Mr. Hector Hughes) on 18th December, 1957.
§ Mr. AwberyIs the right hon. Gentleman aware that it would be far cheaper for us to send these ships to the ship-breaking yard and use the scrap for rebuilding than sell the ships to people who are competing against us in an unfair market? At the same time, will the right hon. Gentleman make inquiries as to whether firms which operate from 369 the City of London purchase the ships and sail them under the flags of Panama and Costa Rica?
§ Mr. WatkinsonThe hon. Member would be interested if he made inquiries about this in the shipping industry, because if we deprive the British shipping industry of its foreign market for selling second-hand ships we deprive it of large sums of money applied to buying new ships.