§ 37. Mr. Wiggasked the Minister of Aviation what is the basis of recalculation of expenditure for the financial year 1960–61 which will result in the saving of £10 million from the figures shown in his published estimate; and whether he will make a statement.
§ 41. Mr. Straussasked the Minister of Aviation which items in his Estimates are to be reduced by £10 million.
§ Mr. SandysAs a result of a recent review of the development programme, it appeared that we had budgeted for more than we were likely to spend in the coming year to the extent of at least £10 million. An adjustment will be made in Vote 9 of Class VI.
§ Mr. WiggAs it has been the right hon. Gentleman's custom both in his previous office and in this one to waste money with a lavish hand, why is it that he has to make a special announcement that he is to save £10 million unless he is once again covering up something? Will he give the House a specific assurance that this special economy is not related to any amendment of the TSR.2 or the Blue Streak programmes?
§ Mr. SandysThe purpose is not to cover up something but to disclose something to the House.
§ Mr. StraussDoes what the Minister has just said mean that there has been a review of the amount which it is possible or likely to be spent on the orders which the Ministry has in hand during the coming year, or has a decision been made to defer or cancel any of the existing development or other orders?
§ Mr. SandysWe under-spent very seriously last year in comparison with the Estimates of development projects, and the figure of £10 million is made up of reductions in our Estimates for this year's spending on a number of contracts with various firms. I think it would be contrary to well established practice to publish figures of expenditure in regard to individual weapons and aircraft.
§ Mr. StraussThe right hon. Gentleman has not answered my Question. I asked whether this meant there had been a deliberate deferment or cancellation 883 of any of the orders which had been contemplated. Does that account in any way for the reduction of £10 million?
§ Mr. SandysAs a result of the review of the programme, we came to the conclusion that we had put down in the Estimates a larger sum than we thought we would spend.
§ Mr. ChetwyndDoes this mean that the right hon. Gentleman's Estimates Department, which has been so wildly out in the past, is getting better and there has been an improvement?
§ Mr. SandysI do not think that £10 million is so wildly out on the size of the programme that we are discussing.
§ Mr. JegerOn a point of order. In view of the unsatisfactory nature of the Minister's reply, I beg to give notice that I will raise this matter on the Adjournment at the earliest opportunity.