HC Deb 06 July 1966 vol 731 cc412-3
18. Mr. R. Carr

asked the Minister of Aviation what proposals have been put to him by British European Airways regarding their future needs for new aircraft and whether he has yet made a decision regarding these proposals.

Mr. Mulley

B.E.A. are evaluating various possible combinations of aircraft, British and American, which would furnish the extra capacity they will need after 1969. No decisions can be taken until the work of evaluation is complete. I shall make a statement as soon as I can.

Mr. Carr

Does the Minister mean by that reply that he has not received any definite submissions from B.E.A.? If so, could he make that clear? Secondly, would he assure the House that he will make a statement to it while it is sitting and before we rise for the Summer Recess about this decision, which is probably the most single important decision for the future of civil aircraft manufacturing in the country?

Mr. Mulley

I will give the undertaking, and I will make a statement as soon as possible, and I hope that it will be done before the House rises for the Recess. I also accept the great importance of this decision. B.E.A. has put forward a number of combinations and, at my request, it is now studying others, to cover the whole range of possibilities as to its needs.

Mr. Rankin

Is my right hon. Friend aware that it puzzles many hon. Members why B.E.A. should have to go to America to look for a medium-sized airbus or a Boeing 737, in view of the fact that this year the British Aircraft Corporation will be selling 120 million dollars' worth of aircraft to America against a tax of 10 per cent.? Can my fight hon. Friend assure us that B.E.A. will not come back with the BAC111?

Mr. Mulley

When a matter of this importance to the Corporation has to be settled as to its future plans, it is only right that all possibilities should be evaluated. I know that B.E.A. is hoping that it will be able to continue its policy of flying British, as it has done successfully in the past.

Sir Ian Orr-Ewing

Will the right hon. Gentleman bear in mind that there are many hon. Members in all parts of the House who believe that our national airlines ought to fly British? When he is making up his mind, will he consider and recollect that B.O.A.C. strongly recommended that it should go entirely American against the VC10, and that the VC10 has proved to be a very attractive and economical aircraft? Would not the same apply to British aircraft for B.E.A.?

Mr. Mulley

As I have said, I hope very much that a British solution can be found to the problem.