HC Deb 11 June 1958 vol 589 c191
19. Mr. Beswick

asked the Minister of Transport and Civil Aviation what proportion of the loss of £2,750,000 made by the British Overseas Airways Corporation for the year ended 31st March, 1958, was due to their operations on the East African routes.

Mr. Watkinson

It is not the commercial practice of B.O.A.C., or airlines generally, to publish figures of financial results on particular routes.

Mr. Beswick

Is not it the case that hitherto the Minister and his predecessors justified their policy of allowing independent companies to compete with B.O.A.C. down to East Africa on the basis that the traffic so far made possible this parallel operation, and that they pointed to the profits made as proof of this? Now that there is a substantial loss, part of which does arise on the East African routes, is not there a good case for reconsidering the policy of the present Government of sharing the traffic between B.O.A.C. and the independent operators?

Mr. Watkinson

I think the hon. Gentleman has raised an important principle, and that I should answer it. My answer is this. B.O.A.C. has been provided with modern aircraft and good facilities and is a highly successful and well-run airline, and it must not be too frightened of competition.